half-year business report

Transcription

HALF-YEAR
BUSINESS REPORT
24 Rue de l'Université,
75007 Paris
CONTENT
03
MESSAGE TO THE
SHAREHOLDERS
FONCIÈRE DE PARIS
04 06
GOVERNANCE AND
SHAREHOLDING
KEY
FIGURES
2
08
10
18
A RENTAL
PORTFOLIO
OF €2.4 bn
HALF-YEAR
FINANCIAL
REPORT
CONSOLIDATED
FINANCIAL
STATEMENTS
Message to the
shareholders
Foncière de Paris has fulfilled major steps between 2012
and 2015! It first achieved a successful takeover bid over
Foncière Paris France – since then absorbed- abandoned
its credit loan status to adopt the SIIC status, changed
names and at last in May of this year merged with
Foncière des 6ème et 7ème Arrondissements de Paris (SIIC).
From now on, Foncière de Paris is a full part real-estate
company, holding an operating lease portfolio which
sprung from €0.3m in 2012 to €2.4bn today. At the same
time, the number of shares passed from 4.3 million in 2012
to 6.6 million in 2014 and 10.3 million since May 2015.
Meanwhile the dividend reflected the Company’s
development and progressed from €5.15 per share in 2012
to €6.10 per share in 2014. Alongside the share’s liquidity
increased.
In the future, strongly settled on a 90% property portfolio
located in Paris, your Company will pursue its strategy
based on investing in property assets located in Paris and
meant to be refurbished. As evidence the EADS Building
project, located boulevard de Montmorency in Paris 16th,
the Penthemont building complex, located rue de
Bellechasse in Paris 7th of which the refurbishments should
start soon and last two years.
The half-year business report presented hereafter is the first
one of the new merged Group – Foncière de Paris –
Foncière des 6ème et 7ème Arrondissements de Paris.
We thank you for your trust and assure you of our energy to
pursue what represent the trademark of your Company
since 30 years: consistent growth of the Group’s distribution
and steady increase in its property portfolio value.
HALF-YEAR BUSINESS REPORT • 06 • 2015
3
SOPHIE BEUVADEN,
Chairwoman of the Supervisory
Board
FRANÇOIS THOMAZEAU,
Chairman of the Executive
Board
Governance
THE EXECUTIVE BOARD
The Company is managed
by an Executive Board,
under the control of
the Supervisory Board.
FRANÇOIS THOMAZEAU
Chairman of the Executive Board
OLIVIER RICHÉ
Managing Director
45-47 Saint Dominique
75007 Paris
ARNAUD POMEL
Managing Director
Since 2010, the Company has adopted the Corporate Governance Code for Smallcaps and Midcaps, published by
MiddleNext in December 2009, as the set of standards for the Company’s corporate governance policy. Therefore,
pursuant to the Act dated July 3rd, 2008 transposing community directive 2006-46-CE of June 14th, 2006, the MiddleNext
Code is the one to which the Supervisory Board refers to. The Company applies all the recommendations of this Code.
FONCIÈRE DE PARIS
4
Shareholding
MAIN SHAREHOLDERS
AUDIT
COMMITTEE
As of June 30th, 2015
FANNY PALLINCOURT
29.73%
Chairwoman
CYRIL LE TOUZE
23.52%
Groupe Covéa
27.91% in 2014
Free float
25.90% in 2014
22.70%
11.50%
Groupe Allianz
17.19% in 2014
Groupe ACM
10% in 2014
5.79%
5.48%
La Tricogne
8.77% in 2014
Groupe
Le Conservateur
7.07% in 2014
BRUNO SERVANT
MICHEL DUFIEF
SUPERVISORY
BOARD
COMPENSATION
COMMITTEE
SOPHIE BEUVADEN
Chairwoman
CYRIL LE TOUZE
PETER ETZENBACH
Chairman
Vice-President
PETER ETZENBACH
PHILIPPE BLAVIER
1.28%
PHILIPPE BLAVIER
Member
Treasury shares
3.16% in 2014
JEAN-PAUL DUMONT
Member
LUC GUINEFORT
Member
TATIANA NOURISSAT
Member
Member, represented by
Fanny PALLINCOURT
STATUTORY
AUDITORS
ASSURANCES
DU CREDIT MUTUEL VIE
SAINT-HONORÉ SEREG
ALLIANZ VIE
Pascale BONNET
LE CONSERVATEUR
Cyril LE TOUZE
GMF ASSURANCES
Olvier LE BORGNE
There are no double voting rights, and the articles of
association contain no restrictions on the exercise
voting rights and on share transfers. To the Company’s
knowledge, there is no shareholder’s agreement and
there are no concerted actions among shareholders.
Mandat Term expires: 2020
TUILLET ASSOCIÉS
Deputy member
MAZARS
MICHEL DUFIEF
Cornel WIDMER
There are no other securities that give access to the
capital of the Company, except 663,302 OSRAs which
are potentially redeemable into 852,514 shares by
redemption from 2017 on.
Accredited member, represented
by Denis VAN STRIEN
registered member of the
Compagnie
Régionale de Paris
64, rue Henri Regnault,
92400 COURBEVOIE
accredited member, represented
by Odile COULAUD
registered member of the
Compagnie
Régionale de Paris
ZURICH VERSICHERUNGS
GESELLSCHAFT
On June 30th, 2015, the equity capital stands at
€154,426,125 divided into 10,295,075 shares with a par
value of €15 each.
140, rue du Faubourg
Saint-Honoré,
75008 PARIS
GENERALI FRANCE
ASSURANCES VIE
Bruno SERVANT
CHANGE IN THE CAPITAL AND
SHAREHOLDING
Censor
Mandat term expires: 2020
JEAN-MARIE SOUBRIER
FRANCK BOYER
Censor
Deputy member
On June 30th 2015, the free-float increased and reached
up to 25% of the capital, representing approximatively
300 million euros.
The number of shareholders passed from 1,470 to 2,620
between December 31st 2014 and June 30th 2015.
The merger between Foncière de Paris and Foncière
des 6ème et 7ème Arrondissements de Paris should
improve even more the stock’s liquidity.
5
Key
figures
MARKET CAPITALISATION (IN €M)
€1,150.0m
€781.8m
€318.1m
€365.2m
End 2005
End 2010
March 2015 30/06/2015
REAL-ESTATE PORTFOLIO OF
INVESTMENT PROPERTIES (IN €M)
€2,393m
€1,225m
€1,307m
2013
2014
€287m
2012
H1 2015
NAV
(Net Asset Value per share, in €)
€124.9
€118.7
€111.2
31/12/2013
FONCIÈRE DE PARIS
€112.8
30/06/2014
31/12/2014
30/06/2015
6
TOTAL DIVIDEND PER SHARE
Since 1985, the Company has always paid
a stable or increasing dividend.
5,50 €
6,00 €
6,10 €
3,00 €
An additional exceptional div idend
of €1,20 f or 2007 f inancial y ear.
0,00 €
1985
1990
1995
2000
2005
2010 2014
DEBT COST (%)
2.61%
2.51%
2014
H1 2015
DEBT MATURITY
(IN YEARS)
3.4
2014
3.2
H1 2015
LOAN TO VALUE* (%)
44%
2014
45%
H1 2015
* Ratio = debt / resat at ed port folio
5 Rue de Dunkerque,
75010 Paris
7
PROPERTY PORTFOLIO
407,895 sq.m €2,393 m
Total Surface area
Total Appraisal Value
Paris - Boulogne-Billancourt & Levallois
Area (sq.m )
8-10, rue Saint-Fiacre 75002 Paris
80, rue Bonaparte - 23, rue Madame 75006 Paris
4, rue Danton 75006 Paris
92, rue de Vaugirard 75006 Paris
83, bd du Montparanasse 75006 Paris
3, avenue Octave Gréard - 15-19, avenue de Suffren 75007 Paris
37-39, rue de Bellechasse - 104, rue de Grenelle 75007 Paris
136 bis, rue de Grenelle 75007 Paris
138 bis, rue de Grenelle 75007 Paris
24-26, rue Saint-Dominique 75007 Paris
41-43, rue Saint-Dominique 75007 Paris
45-47, et 49-51, rue saint-Dominique 75007 Paris
26-28, rue des Saints-Pères 75007 Paris
76 bis, rue des Saints-Pères 75007 Paris
24, rue de l'Université 75007 Paris
209, rue de l'Université 75007 Paris
18, rue de Bourgogne 75007 Paris
18-20, rue Treilhard 75008 Paris
52, rue de Dunkerque 75009 Paris
3, rue Moncey 75009 Paris
5, rue de Dunkerque 75010 Paris
158-162, rue du Faubourg Saint-Martin 75010 Paris
210, quai Jemmapes 75010 Paris
8, cité Paradis 75010 Paris
27, rue des Petites Écuries - 75010 Paris
21-23, boulevard Jules Ferry 75011 Paris
8, rue de la Croix Jarry - 5-7, 11-13, rue Watt 75013 Paris
19-29, rue Leblanc 75015 Paris
23, rue Linois 75015 Paris
82-84, rue de la Procession 75015 Paris
9-11, rue Robert de Flers 75015 Paris
91, boulevard Exelmans 75016 Paris
37, boulevard de Montmorency 75016 Paris
247 à 255, boulevard Pereire 75017 Paris
31, rue Pouchet 75017 Paris
139, boulevard Ney 75018 Paris
56, boulevard Rochechouard 75018 Paris
16, rue des Fillettes 75018 Paris
28, avenue de Flandre - 4, rue de Soissons 75019 Paris
216-218, avenue Jean Jaurès 75019 Paris
68, quai de la Seine 75019 Paris
249, rue de Crimée 75019 Paris
54-56 avenue du Général Leclerc 92100 Boulogne-Billancourt
114-116, route de la Reine 92100 Boulogne-Billancourt
44-46, rue de Sèvres 92100 Boulogne-Billancourt
738, rue Yves Kermen 92100 Boulogne-Billancourt
41-43, rue Louise Michel 92300 Levallois-Perret
Offices
Retail premises
Hotel
Hotel
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Residential property
Offices
Offices
Offices
Youth Hostel
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Offices
Retail premises
Industrial premises
Offices
Offices
Hotel
Offices
Offices
Hotel
Offices
Offices
Offices and retail premises
Sub total / PARIS - BOULOGNE-BILLANCOURT & LEVALLOIS-PERRET
252 425 sq.m
APPRAISAL VALUE
FONCIÈRE DE PARIS
2 840
800
3 800
4 300
1 800
9 200
12 500
2 200
700
8 000
5 000
12 000
10 000
140
2 200
1 300
2 000
5 470
1 700
1 840
4 425
9 120
10 010
2 200
3 810
1 880
30 460
5 930
5 525
940
5 720
1 240
14 080
8 265
900
3 725
2 160
1 810
15 685
6 270
6 470
5 500
3 810
5 500
2 060
4 040
3 100
€ 2 063 898 307
8
Paris Region
Area (sq.m )
250, route de l'Empereur 92500 Rueil-Malmaison
21 rue du Port 92000 Nanterre
10-14,rue de Vincennes 93100 Montreuil
34, rue Gaston Lauriau 93100 Montreuil
278-290, rue de Rosny 93100 Montreuil
72-74 avenue Gambetta 93170 Bagnolet
12-16, rue André Campra 93200 Saint-Denis
15-19, rue Jean-Philippe Rameau 93200 Saint-Denis
29, rue Emile Cordon 93400 Saint-Ouen
100-106, rue du Landy 93400 Saint-Ouen
140, avenue Jean Lolive 93500 Pantin
209 à 217, avenue de la République 93800 Epinay-sur-Seine
41, avenue le Corbusier 94000 Créteil
8-10, rue des Lances 94310 Orly
2, avenue du Groupe Manouchian 94400 Vitry-sur-Seine
140-146, rue Léon Geffroy 94400 Vitry-sur-Seine
4 rue Jean Mermoz - 91080 Courcouronnes Evry
52, rue du Maréchal de Lattre de Tassigny 91100 Corbeil-Essonnes
281-283, boulevard John Kennedy 91100 Corbeil-Essonnes
30, avenue Carnot - 91300 Massy-Palaiseau
55 route de Longjumeau 91380 Chilly-Mazarin
Route de Gisy (Bâtiments 9, 15 et 26) 91570 Bièvres
16-18, rue Ambroise Croizat 95100 Argenteuil
3, allée Hector Berlioz 95130 Franconville-la-Garenne
9 bis, rue de l'Isle Adam 95540 Méry-sur-Oise
14, rue des Frères Caudron 78140 Vélizy
7 bis, avenue Roger Hennequin 78190 Trappes
12, rue Yvan Tourgueneff 78380 Bougival
4, rue de la Mare Blanche 77186 Noisiel
Roissy Charles de Gaulle 77990 Le Mesnil-Amelot
Gas station
Data center
Offices
Industrial premises
Offices
Industrial premises
Recording studios
Offices
Industrial premises
Industrial premises
Offices
Industrial premises and Offices
Offices
Industrial premises
Offices
Offices
Industrial and retail premises
Offices
Offices
Offices
Offices
Offices
Chateauform'
Offices
Holiday Inn
Offices
Radisson Blu
2 610
3 800
11 560
5 175
3 200
5 130
16 370
14 550
2 760
2 370
6 190
7 930
2 980
2 465
3 870
1 510
3 550
810
3 900
1 900
10 060
4 435
8 920
1 805
70 (rooms)
3 650
3 870
219 (rooms)
9 330
240 (rooms)
Sub total Inner suburbs
APPRAISAL VALUE
100 730 sq.m
€ 202 114 270
Sub total Outer suburbs
APPRAISAL VALUE
43 970 sq.m
€ 97 064 270
Sub total Paris Region
144 700 sq.m
APPRAISAL VALUE
€ 299 485 309
Restaurants
Area
La Rotonde de Ledoux - 6-8, place de la Bataille de Stalingrad 75019 Paris
68, quai de la Seine 75019 Paris
Léon de Bruxelles Servon
Léon de Bruxelles Trappes
Léon de Bruxelles Montlhéry
Léon de Bruxelles Villenave
Léon de Bruxelles Tours
Léon de Bruxelles St Etienne
Léon de Bruxelles Reims
Léon de Bruxelles Nancy
Courtepaille Nanterre
Courtepaille Pessac
Courtepaille Nancy
Courtepaille Rouen
Tablapizza Clermont
Hippopotamus Lorient
20, rue du Château d'Isenghien 59160 Lomme
1, rue du Père Heude 95200 Sarcelles
5 rue Camille Blanc 78240 Chambourcy
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
Restaurant
1 020
500
450
450
650
670
750
650
700
500
550
670
700
700
700
520
300
290
Total Restaurants
10 770 sq.m
APPRAISAL VALUE
€ 29 491 540
TOTAL S URFACE
407 895 sq.m
TOTAL APPRAIS AL VALUE
€ 2 392 875 156
9
Half-
On May 12th 2015, Foncière de Paris SIIC merged with
Foncière des 6ème et 7ème Arrondissements de Paris, with a
retroactive tax and accounting effect at January 1st,
2015 (Social accounts).
year
In the presented consolidated statements according to
IFRS standards, the effective date of merger is April 1st,
2015 (closing date the closest to the Merger’s General
Meeting) and not January 1st, 2015.
financial report
Therefore, the income statement of this half-year 2015 is
not comparable to the former year because it only
represents a three-month business period for Foncière des
6ème et 7ème Arrondissements de Paris. In order to make a
possible comparison, a pro-forma consolidated financial
statement comprising Foncière des 6ème et 7ème
Arrondissements de Paris business activities since January
1st, 2015, is presented in §5 of the consolidated appendix.
as of June 30th, 2015
This point being set, the consolidated turnover of the halfyear 2015 amounts to €68.6m, divided up as follows:
> Rental business : €45.3m
> Hotel business: €14.3m
> Credit-leasing business: €9.0m
The consolidated pro-forma turnover amounts to €79.8m
for the first half-year 2015 compared to €161.8m for 2014,
based on pro-forma data as well.
Rental business
The consolidated rental income from the investment
properties amounts to €45.3m for the first half-year,
amount that cannot be compared with the former halfyear reports because the rental income coming from
Foncière des 6ème et 7ème Arrondissements de Paris, was
only accounted for from April 1st, 2015 on.
The pro forma consolidated rental income calculated on
the total semester and for the merged group, (integrating
the two companies Foncière de Paris SIIC and Foncière
des 6ème et 7ème Arrondissements de Paris since January
1st, 2015), amounts to €53.6m (taking into account the
disposals carried out since the beginning of the year) and
to compare with €112.5m for 2014, in pro-forma data as
well.
Since the beginning of the year 2015, the Company has
had a very active period with renting or re-renting nearly
33,000sq.m representing a potential €16m of annual
rental income, mainly:
 “Le Coruscant” building located in Saint-Denis (14.550
sq.m) let to SNCF Group for a 10 year term of which 9 are
fixed, starting end 2015;
 Beginning of the year, the occupancy of the future
building complex “Penthemont” located 37-39, rue de
Bellechasse and 104, rue de Grenelle in Paris 7th
(12,500sq.m.) was secured by signing an agreement,
before completion, with Yves Saint-Laurent. This
agreement is subject to suspensive conditions, among
which those related to building permits and
authorisations, which are still to be obtained ;
FONCIÈRE DE PARIS
10
 A franchise agreement was signed with Marriott Hotel
Group with the aim of building a 5* hotel in the
remainder surface areas of the Penthemont Building
complex;
 Over 1,900 sq.m were let in a building “Le Campra”
located in Saint-Denis, bringing the occupancy rate of
this asset to 100%;
 A surface area of 1,050sq.m. recently renovated in a
building located 251, boulevard Pereire in Paris 17th,
was let for a 6 year term by Robert Walters PLC
Company;
 1,000 sq.m were let in the “Biopark” building located in
Paris 13th.
On June 30th, 2015, excluding buildings undergoing
refurbishment, the occupancy rate of the property
portfolio amounts to 96.9% on consolidated appraised
values, versus 95.1% on December 31st, 2014. The
occupancy rate of the buildings “in Paris” stands at 98%.
Le Coruscant
15-19 rue Jean-Philippe Rameau
Saint-Denis 93200
Acquisitions under negotiation
During the first six months, Foncière de Paris SIIC initiated
two new acquisitions for an amount of €53m:


The company acquired the land on which the
Holiday Inn Paris Saint-Germain-des-prés (134 rooms, 4
star-hotel) is. For the record, the residual term of the
construction lease was only of approximatively 30
years. This acquisition gives the full ownership of a
high quality asset ;
Beginning July 2015, an acquisition agreement was
signed for the acquisition as full ownership of a
building complex located 127-129, rue de l’Université
in Paris 7th, totalling 2,300 sq.m of office surface,
700 sq.m of apartment space and 300 parking places
of almost 9,400 sq.m, entirely let.
Disposals
During the first half-year of 2015, three buildings were sold for a total amount of €97m, at higher values than those
published in NAV on December 31st, 2014, generating a total consolidated capital gain of €22.3m.
These sales concern « RUEIL 250 », located 250, route de l’Empereur in Rueil-Malmaison (27,255 sq.m), a building located
76-80, avenue du Général Leclerc in Paris 14th(1,500 sq.m) and also one located 4, rue de Lasteyrie in Paris 16th
(1,300sq.m). The rents generated by these three buildings for a full year represented €6.2 m.
Appraisals and NAV
On June 30th, 2015, the portfolio of Foncière de Paris SIIC is composed of 93 buildings representing approximatively
407,000 sq.m. of which 89% are located in Paris, Boulogne-Billancourt and Levallois-Perret, and 11% in other Paris area.
On the basis of the mid-year appraisals of June 30th 2015, the total value of the assets’ portfolio amounts to €2,932.9m
in liquidation value (excluding transfer duties), showing €290.0 m of unrealised capital gains on the net consolidated
booked property values and €2,509.2 of replacement value (including transfer duties).
Calculated under EPRA recommendations, the triple net revalued asset stands at €124.42 per share on June 30th, 2015
compared to €118.35 on December 31st, 2014, up 5.1% over six months.
For the record, NAV calculated with the traditional method used by the Company was at €124.85 per share on June
30th, 2015, compared to €118.69 on December 31st, 2014, up 5.2%.The net revalued asset including transfer duties stands
at €135.27 per share on June 30th, 2015, compared to €128.25 on December 31st, 2014.
On the diluted basis of 663,302 OSRA 2010 existing on June 30th, 2015, the number of shares Foncière de Paris SIIC is of
11,162,979 securities including treasury shares and of 10,982,850 securities excluding treasury shares.
11
NAV CALCULATED EXCLUDING TRANSFER DUTIES PER SHARE
31/12/2014
30/06/2015
Consolidated shareholders' equity (see note 2.14 in the appendix to the consolidated financial
statements)
565 509
986 139
Unrealised capital gains on properties and hotels
(see notes 2.2.3 and 2.3.3 in the appendix to the consolidated financial statements)
198 739
289 939
Unrealised capital gains on financial leasing
Tax liabilities on financial leasing
Treasury shares
OSRA 2010
48 700
-16 767
18 466
72 908
40 800
-14 047
17 941
72 908
(IN THOUSANDS OF EUROS)
NAV excluding transfer duties
Number of diluted shares (including treasury shares)
NAV excluding transfer duties per share
887 555
1 393 680
7 477 931
11 162 979
€ 118.69
€ 124.85
NAV EPRA CALCULATED PER SHARE
31/12/2014
887 555
5 834
-18 466
874 923
7 268 356
120,37 €
NAV excluding transfer duties
Cancellation of financial instruments fair value
Cancellation of treasury shares
NAV EPRA
Number of diluted shares (excluding treasury shares)
NAV EPRA per share
30/06/2015
1 393 680
2 298
-17 941
1 378 037
10 982 850
125,47 €
The NAV EPRA using the triple net method is based on the assumption that business would keep on (ongoing value).
NAV EPRA USING THE TRIPLE NET METHOD PER SHARE
31/12/2014
874 923
-5 834
-8 900
860 189
7 268 356
118,35 €
NAV EPRA
Financial intruments market valuation
Fixed-rate debt market valuation
ANR EPRA triple net
Number of diluted shares (excluding treasury shares)
NAV EPRA using the triple net m ethod per share
30/06/2015
1 378 037
-2 298
-9 299
1 366 440
10 982 850
124,42 €
The NAV EPRA using the triple net method is based on the assumption that business would cease (liquidative value).
FONCIÈRE DE PARIS
12
49-51, rue Saint-Dominique
75007 Paris
13
Hotel business
The revenue generated by the Group’s Hotel activity has
sharply increased at €14.3m on June 30th, 2015, not
comparable to the first half-year of 2014, due to the
integration of the two hotels managed by Foncière des
6ème et 7ème Arrondissements de Paris. The hotel business
results (before amortisation and depreciation) stand at
€4.1m for the first six months of 2015.
The credit-leasing business
Now managed to extinction, the consolidated creditleasing outstandings continue to decline and stand at
€361.1m on June 30th, 2015.
Shareholding
The income from the equity affiliates amounts to -€1.5m on
June 30th, 2015. It concurs with the value adjustment
recorded on its interest in PHRV which holdings’ level
passed from 31.1% to 94.4%.
The dividends and net security gains amount to €5.5m for
the first half-year of 2015, reflecting mainly the dividend
from the Eurosic participation (7.5% of the capital).
Half-year financial results – as of June 30th, 2015
The Company’s net profit at June 30th, 2015 is of €54.5m.
This result was at €41.1 m at December 31st, 2014 and at
€23.8m at June 30th, 2014.
After several consolidation adjustments, mainly due to
dividends received from subsidiaries (net adjustment is
at -€7.1m) and to the merger with Foncière des 6ème et 7ème
Arrondissements de Paris (negative impact of €6.5m linked
to the date of legal effect of the merger on April 1st 2015 in
the consolidated income statement, partial adjustment of
an extraordinary merger surplus registered in the financial
statements and of the merger costs accounted for as
expenses), the net consolidated profit attributable to the
equity holders of the parent company amounts to €40.9m
at June 30th 2015 (not directly comparable to the net profit
of €11.6m on June 30th, 2014)
The pro-forma net consolidated income statement comes
to €43.5m as of June 30th, 2015, to be compared with a proforma net consolidated income statement of €48.5m for
the full year 2014 (see document E.15-018 § 4 p47).
On June 30th, 2015, the recurring EPRA income (also called
“EPRA earnings”) ie the current cash flow (ie excluding
earnings from property disposal) amounts to €33.6m,
representing €3.27 per share. On a pro-forma basis, this
indicator amounts to €3.75 per share at June 30th, 2015,
versus €6.83 per share in 2014.
The global consolidated cash flow (including income from
property disposal) amounts to €54.4m that is €5.28 per share
on June 30th, 2015.
FONCIÈRE DE PARIS
14
CALCULATION OF THE RECURRING EPRA EARNINGS
31/12/2014
31/12/2014
30/06/2015
30/06/2015
EPRA earnings
EPRA earnings per share
(12 months)
51.9
€7.84
(12 months pro forma)
70.3
€6.83
(6 months pro forma)
38.6
€3.75
(6 months)
33.6
€3.27
Total cash flow
Total cash flow per share
67.1
€10.13
77.7
€7.55
59.3
€5.76
54.4
€5.28
Shareholder’s equity
The absorption-merger of Foncière des 6ème et 7ème Arrondissements de Paris resulted in a capital increase of
€54,988,200 by issuing 3,665,880 new shares with a nominal value of €15 allocated to the shareholders of Foncière des
6ème et 7ème Arrondissements de Paris. This operation revealed an extraordinary merger bonus of €9,825,029 and a
merger premium of €351,740,259 of which costs, duties and reserves were levied resulting from the merger.
The consolidated shareholders’ equity Group share, including net income, amounts now to €986.1m on June 30th, 2015,
compared to €565.5m on December 31st, 2014. To this amount are added €290.0m of unrealised capital gains on
investment properties and €72.9m of further equity based on OSRAs. Thus the revalued amount of the equity and quasiequity capital amounts to €1,349.0m on June 30th, 2015.
Financial debts
The net consolidated financial liabilities amount to €1,457.5m at June 30th, 2015, versus €1,039.1m at December 31st,
2014.
On June 30th, 2015 cash and equivalents amount to €22.0m plus €566.8m of undrawn credit lines. The average maturity
of the debt stands at 3.2 years at June 30th, 2015.
The ratio loan-to-value (LTV) is at 45% at June 30th, 2015, stable compared to December 31st, 2014.
During the first-half of the year, the Company purchased €570m in swaps at an average rate of 1%, mainly with a
deferred-start and maturity end set 2022 and €150m of caps for an average strike of 0.50% and maturity set mid-2021.
Therefore the hedging rate of variable loan rates stands at 84% at June 30th, 2015. It still stays very close to 50% mid2021.
On June 30th, 2015, the average debt cost of the drawn credit lines by Foncière de Paris SIIC amounts to 2.28%
(including hedging instrument costs, and the costs of €72.9m OSRAs at 6.5% of former Foncière Paris France), compared
to 2.39% on December 31st, 2014.
Description of principal risks and uncertainties
The elements liable to represent significant effect on the financial situation and performance of the company are
noted in “Corporate governance and internal control” of the Reference Document of December 31st, 2014 (see p.71
and following). The management’s assessments on the nature and the level of risks have not changed during the first six
months of 2015. The Company considers that there has been no evolution on the risk factors this semester.
45-47 Saint Dominique
75007 Paris
15
« … the Company’s
strategy is to keep on
investing in property assets
located in Paris and meant
to be refurbished... »
Principle transactions between related parties
No transactions between related parties have had
significant impact on the financial situation or the financial
statements during the first six months of 2015. Information
concerning transactions between related parties is
recorded at §1-5 of the appendix to the consolidated
financial statements if it represents a significant influence
and/or its omission has an effect on the accuracy of the
interim financial statements.
Shareholders’ structure
The absorption-merger of Foncière des 6ème et 7ème
Arrondissements de Paris, approved by the General
Meetings held on May 12th, 2015, resulted in a capital
increase of € 54,988,200 by issuing 3,665,880 new shares
with a nominal value of €15 allocated to the shareholders
of Foncière des 6ème et 7ème Arrondissements de Paris.
The free allocation of 2,700 shares of Foncière Paris France
in 2013, prompted on May 18th, 2015, the issuance of 3,438
new shares with par value €15 by Foncière de Paris SIIC
according to the merger treaty with Foncière Paris France.
The capital increase of €51,570 was realised through a
transfer from the merger bonus account.
Thus the equity capital amounts to €154,426,125 divided in
10,295,075 shares with a par value of €15 each.
On June 30th, 2015, there were 663,302 OSRAs, potentially
redeemable into 852,786 shares regarding their current
breakdown.
There are no other securities that give access to the capital
of the Company. There are no double-voting rights, and
the articles of association contain no restrictions on the
exercise of voting rights and on share transfers. To the
Company’s knowledge, there are no shareholders’
agreements and there is no concerted action among
shareholders.
The shareholders’ structure has evolved during the first half-year 2015 as a result of the merger with Foncière des 6ème et
7ème Arrondissements de Paris that occurred on May 12th, 2015:
 Generali Group, through Generali Vie Company, has
disclosed crossing below the threshold by 5% of the
capital and voting rights of the Company and has only
3.95% of the capital and voting rights after this operation
(notified AMF n° 215C0674).

 Allianz Group, through Allianz Vie Company, has
declared exceeding threshold by 10% of the capital
and voting rights of the Company, that Allianz IARD
company has crossed below the threshold by 10% of the
capital and voting rights of the Company and therefore
Allianz Group has exceeded the threshold by 20% of the
capital and voting rights of the Company and holds
now 22.71% of the capital and voting rights of the
Company, after this operation (notified AMF n°
215C0664). Allianz Group established a statement of
intent concerning the exceeding threshold.
 Covea Group declared that the GMF Vie company
exceeded the threshold by 15% of the capital and
voting rights of the Company, that MMA Vie company
crossed below the threshold by 5% of the capital and
voting rights of the Company and therefore Covea
Group declares that it has not crossed any thresholds
FONCIÈRE DE PARIS
16
and now holds 29.74% of the capital and voting rights of
the Company, after this operation (notified AMF n°
215C0688). Covea Group established a statement of
intent concerning the crossing of thresholds.
ACM Vie Group which held 10% of the capital and
voting rights of the Company as of December 31st, 2014,
declared on February 11th, 2015, crossing below the
threshold by 10% of the capital and voting rights of the
Company (notified AMF n° 215C0234), then disclosed on
March 10th, 2015, crossing upwards the threshold by 10%
of the capital and voting rights of the Company
(notified AMF n°215C0317). As support to this second
declaration, ACM Vie Group established a statement of
intent concerning the crossing of thresholds. After the
merger between Foncière de Paris and Foncière des
6ème et 7ème Arrondissements de Paris, the ACM Vie
Group declared that ACM Vie SA company had
crossed individually over 5% of the capital and voting
rights of the Company and therefore ACM Vie Group
has not crossed any thresholds and now holds 11.50% of
the capital and voting rights of the Company (notified
AMF n°215C0704).
Therefore, on June 30th, 2015, the shareholders’ structure is
as follows:
SHAREHOLDERS’ SRUCTURE:
31/12/2014
SHAREHOLDERS
Groupe Covéa
Groupe Allianz
ACM Vie
SCI La Tricogne
Assurances Mutuelles Le Conservateur
Groupe Generali
Public
Treasury shares
Total
30/06/2015
30/06/2015
30/06/2015
30/06/2015
30/06/2015
Capital
Shares
Capital
Vo ting rights
OSRA
Diluted vo ting
rights
27,91%
17,19%
10,00%
8,77%
7,07%
5,66%
20,23%
3,16%
3 060 663
2 336 876
1 183 599
596 158
564 597
406 176
2 014 979
132 027
29,73%
22,70%
11,50%
5,79%
5,48%
3,95%
19,57%
1,28%
30,17%
23,03%
11,67%
5,88%
5,57%
4,00%
19,69%
-%
521 948
115 058
26 296
-
33,93%
22,59%
10,76%
5,42%
5,13%
3,69%
18,47%
-%
100%
10 295 075
100%
100%
663 302
100%
Outlook
The Company’s strategy is to keep on investing in property
assets located in Paris and meant to be refurbished. As
evidence the EADS Building project, located boulevard de
Montmorency in Paris 16th, the Penthemont building
complex, located rue de Bellechasse in Paris 7th of which
the refurbishments should start soon and last two years.
The recent merger with Foncière des 6ème et 7ème
Arrondissements de Paris strengthens the Company’s profile
as real estate company of office buildings in Paris with over
€2bn assets located in Paris and a global property portfolio
leased at 97%.
Except an unforeseen circumstance, Foncière de Paris SIIC
should be able to assure in 2016 a dividend equal or
superior to the former period, reflecting the trademark of
the company since 30 years.
The Executive Board
8, rue de la Croix Jarry
75013 Paris
17
Consolidated
financial
statements
as of June 30th, 2015
FONCIÈRE DE PARIS
18
Biopark
8 rue de la Croix Jarry
Paris 75013
19
CONSOLIDATED BALANCE SHEET AS OF JUNE 30TH, 2015
(IFRS STANDARDS):
ASSETS
INTANGIBLE ASSETS
Investm ent properties
Hotel operating capital assets
Assets for financial leasing
Assets for property financial leasing
Assets for movable property financial-properties
Financial fixed assets
Operating fixed assets
TANGIBLE ASSETS
Securities in asociated undertakings
Securities and receivables held to maturity
Securities available for sale
Interest-rate instruments (caps & sw aps)
Deferred tax assets
Other receivables
OTHER NON-CURRENT ASSETS
TOTAL NON-CURRENT ASSETS
Properties held for sale
Inventories
Accounts receivable on investment properties
Financial leasing receivables
Operating receivables
Miscellaneous receivables
Securities available for sale
Cash and cash equivalents
Cash
CURRENT ASSETS
Notes
30/06/2015
31/12/2014
30/06/2014(1)
2.4
2.2
2.3
2.1
5 839
1 882 954
208 786
361 099
3 646
344 556
12 897
785
2 453 625
3 683
14
92 207
5 943
4 779
742
107 368
2 566 832
11 185
328
36 416
7 542
43 959
13 221
425
21 613
22 038
90 730
5 524
976 462
54 082
425 053
4 433
406 821
13 799
586
1 456 183
96 602
9
84 781
1 248
2 252
9 663
194 555
1 656 262
77 022
129
8 801
3 709
12 510
8 325
1 486
15 944
17 429
115 415
188
1 047 839
51 235
444 307
5 685
425 465
13 157
543
1 543 924
93 879
690
83 572
2 450
2 788
1 542
184 922
1 729 034
88 192
75
15 673
7 262
22 935
23 119
1 610
36 962
38 573
172 893
2 657 562
1 771 678
1 901 927
30/06/2015
31/12/2014
30/06/2014
154 426
790 834
14 050
-17 941
794 725
-1 516
42 395
40 879
986 139
72 908
1 223 702
8 241
8 023
16 380
24 404
2 315 394
4 350
255 873
81 945
342 168
99 386
432 525
12 108
-18 466
438 883
4 415
29 183
33 598
565 509
72 908
871 526
7 082
1 957
11 279
13 236
1 530 261
2 596
184 945
53 875
241 416
99 271
422 953
4 758
-18 741
436 936
1 943
8 890
10 833
533 058
811
1 825
2 636
87 474
935 735
13 819
1 369
13 786
15 155
1 587 876
2 506
221 677
89 868
314 050
2 657 562
1 771 678
1 901 927
2.4
2.5
2.15
2.23
2.7
2.2.3
2.8
2.8
2.9
TOTAL ASSETS
LIABILITIES
Capital
Reserves
Transferable reserves
Treasury shares
Other consolidated reserves
Other equity instruments
Share in the income of associated undertakings
Income to be allocated
Income excluding share in the income of associated undertakings
Income
SHAREHOLDERS' EQUITY GROUP SHARE
Minority interest income
Minority interest reserves
MINORITY INTEREST
Bonds redeemable into shares (OSRA)
Financial liabilities due in more than one year
Interest-rate instruments sw aps
Deferred tax liabilities
Other debts
Miscelleanous debts
TOTAL NON-CURRENT LIABILITIES
Provisions for contingencies and charges
Financial liabilities due in less than one year
Miscellaneous debts
TOTAL CURRENT LIABILITIES
Notes
2.10
2.15
2.23
2.11
2.12
2.10
2.13
TOTAL LIABILITIES
1)
From June 30th, 2014, data re-statement to take into account the new retrospective application of IFRIC 21.
FONCIÈRE DE PARIS
20
OFF-BALANCE-SHEET COMMITMENTS
Notes
COMMITMENTS GIVEN
Funding com m itm ents
Commitments in favour of credt institutions
Commitments in favour of clients
Guarantee com m itm ents
Commitments to credit institutions
Commitments to clients
Com m itm ents for the acquisition of investm ent properties
COMMITMENTS RECEIVED
Funding com m itm ents
Commitments received from credit institutions
Guarantee com m itm ents
Commitments received from credit institutions
Com m itm ents for the sale of investm ent properties
21
31/12/2014
30/06/2014
98 073
95 922
2 151
53 000
24 948
20 700
4 248
-
4 669
4 669
-
566 817
566 817
-
407 939
407 939
88 226
125 899
125 899
-
2.16
2.16
210 Quai de Jemmapes,
75010 Paris
30/06/2015
CONSOLIDATED INCOME STATEMENT AS OF JUNE 30TH, 2015
(IFRS STANDARDS)
30/06/2014(1)
(6 months)
Notes
30/06/2015
(6 months)
31/12/2014
(12 months)
94 044
155 421
86 657
Revenue from rental activity
Rents
Re-invoiced expenses
Other revenue and transferred expenses
Recoveries of impairments of assets
Recoveries of doubtful accounts
Recoveries for provisions for contingencies and charges
Revenue from credit-leasing
Fees, taxes and other revenues
Re-invoiced charges
Recoveries of provisions and depreciaiton
Recoveries of provisions for doubtful accounts
Capital gain on sales
Other revenue
Other operating revenues
Hotel operating revenue
Other revenue
Other recoveries of provisions for contingencies and charges
OPERATING EXPENSES
2.17
59 333
45 297
12 587
492
555
286
115
20 180
8 999
7 330
2 311
1 069
50
420
14 532
14 266
266
64 162
99 181
79 390
17 358
1 351
516
566
42 929
21 352
8 825
5 428
4 943
1 196
1 185
13 311
12 545
766
94 405
53 184
39 971
12 207
765
142
99
26 284
11 054
7 706
2 191
3 652
941
742
7 189
6 314
875
58 430
Expenses on rental activity
Re-invoiceable expenses
Non re-invoiceable expenses
Depreciation
Depreciation for asset provisions
Expenses on doubtful accounts
Other expenses
Operating expenses on financial leasing
Provisions for assets
Gain/loss on sales
Other expenses
Other operating expenses
Other hotel operating expenses
Depreciation and amortisation for the hotel business
Other provisions for contingencies and charges
General operating expenses
Payroll expenses
Other administrative expenses
Taxes and similar payments
Depreciation, amortisation and provisions
Other Operating expenses
Operating profit
Income form sale of investment properties
Operating profit after sale of investm ent properties
PROFIT/LOSS OF EQUITY AFFILIATES
Net debt cost
Dividends and net revenue on securities
Change in value of derivatives
Impact fo discounts
Changes in goodw ill value
PRE-TAX PROFIT
Taxes (including deferred tax)
NET PROFIT
2.17
30 851
12 587
4 666
11 138
2 103
308
49
13 862
7 330
95
1 563
1 912
2 332
630
11 477
10 138
1 339
7 973
6 177
613
969
113
101
29 882
22 322
52 204
-1 516
-18 032
5 540
2 424
40 620
259
40 879
49 644
17 358
5 492
21 040
3 694
675
1 386
20 736
8 825
814
239
6 404
4 293
161
9 657
8 588
1 068
14 368
7 939
3 845
1 379
755
450
61 016
6 123
67 140
4 415
-42 047
11 120
-6 138
34 489
-892
33 598
29 440
12 147
3 206
10 458
2 922
285
421
15 033
7 706
591
9
3 149
1 662
1 915
4 871
4 171
699
9 087
5 503
2 138
698
502
246
28 227
1 088
29 315
1 943
-18 599
5 131
-4 936
12 855
-1 211
11 644
33 598
5,24 €
811
10 834
1,69 €
5,34 €
1,84 €
ASSETS
OPERATNG REVENUE
2.18
2.19
2.19
2.18
2.19
2.20
2.21
2.22
2.23
including minority interest share
GROUP SHARE
Earnings per share
1.6
40 879
4,94 €
Diluted earnings per share
1.6
4,76 €
1)
From June
30th,
2014, data re-statement to take into account the new retrospective application of IFRIC 21.
FONCIÈRE DE PARIS
22
(IN THOUSAND OF EUROS)
STATEMENT OF COMPREHENSIVE INCOME
Incom e for the period/financial year
Other elements of comprehensive income
- Movements on available-f or-sale assets
- Movements on rate instruments
- Share of the equity af f iliates in the other elements of the comprehensive income
Com pre hensive incom e for the pe riod/financial year
Including comprehensive income attributable
- to shareholders of the parent Company
- to minority interest
30/06/2015
31/12/2014
(12 months)
30/06/2014(1)
(6 months)
40 879
33 597
11 644
2 052
486
43 417
10 383
3 392
-515
46 858
7 705
-1 283
4 221
22 287
43 417
-
46 858
-
21 476
811
31/12/2014
(12 months)
30/06/2014(1)
(6 months)
All items in comprehensive income statement may be recognised in profit or loss statement.
CASH FLOW STATEMENTS AS OF JUNE 30TH, 2015
30/06/2015
(6 months)
PRE-TAX RESULTS
40 620
34 489
12 855
14 140
1 516
-22 322
-2 098
-8 764
55 279
-4 982
-5 972
-9 548
23 851
-4 415
6 138
25 574
77 004
-21 086
-26 680
-8 761
11 886
-1 943
5 788
15 731
40 160
-11 361
-13 536
-2 589
34 777
66 633
-33 656
89 998
122 975
20 477
80 540
-19 330
-62 004
-794
12 674
27 683
-6 980
-73 999
-53 296
-511
55 832
-6 192
-87 526
-1 094
-82 073
-39 813
-78 043
-38 620
53 310
-38 557
121 795
-117 856
14 690
83 238
4 609
7 704
28 848
66 633
55 832
-117 856
17 429
80 540
-87 526
14 690
9 725
27 683
-82 073
83 238
9 725
Cash in hand, central banks, Post Office accunts (assets and liabilities)
Accounts (assets and liabilities) and on-demand loans/borrow ing w ith credit institutions
CASH AND CASH EQUIVALENTS UPON CLOSURE
17 429
22 038
9 725
17 429
9 725
38 753
Cash in hand, central banks, Post Office accunts (assets and liabilities)
Accounts (assets and liabilities) and on-demand loans/borrow ing w ith credit institutions
CHANGE IN NET CASH
22 038
4 609
17 429
7 704
38 753
28 848
+/-Net allocations to depreciation and provisions
+/- Share of the earnings related to equity affiliates
+/- Net loss/Net profit from investment activities
+/- Other movements
TOTAL OF NON-MONETARY ELEMENTS
+/- Flow s related to transactions w ith credit institutions
+/- Flow s related to transactions w ith clients
+/- Flow s related to other transactions affecting financial assets or liabilities
+/- Flow s related to other transactions affecting non-financial assets or liabilities
- tax paid
NET INCREASE/DECREASE IN ASSETS AND LIABILITIES
COMING FROM OPERATIONAL ACTIVITIES
TOTAL NET CASH FLOW FROM THE OPERATIONAL ACTIVITY (A)
Flow s related to financial assets and shareholdings (2)
Flow s related to investment properties
TOTAL NET CASH FLOW RELATED TO OPERATION
Flow s related to tangible and intangible assets
TOTAL NET CASH FLOW FROM INVESTMENT TRANSACTIONS (B)
Related cash flow s coming from or going to shareholders
+/- Flow s related to transactions w ith credit institutions
TOTAL NET CASH FLOWS RELATED TO FUNDING TRANSACTIONS (C)
NET INCREASE/DECREASE IN CASH AND CASH EQUIVALENTS
Net cash flow s from operational activity (A)
Net cash flow s reated to investment transactions (B)
Net cash flow s related to funding transactions (C)
CASH AND CASH EQUIVALENTS UPON OPENING
(1)
From June 30th, 2014, data re-statement to take into account the new retrospective application of IFRIC 21.
(2)
Flows related to financial assets and shareholdings take into account the dividend paid by Foncière des 6ème et 7ème Arrondissements de Paris.
23
VARIATION IN SHAREHOLDERS' EQUITY AS OF JUNE 30TH, 2015
Variation in shareholders' equity as of December 31st, 2014
CAPITAL
Issue prem ium
Reserves
Consolidated reserves
Unrealised gain and losses
Minority reserves
Result
Group result
Minority result
TOTAL
As
si
gn
m
en
to
fe
D
ar
iv
id
ni
ng
pa e nd
s
re s
nt d i
s
co t r
Va
m i bu
pa te
ri a
ny d
de tion
by
riv
i
th
n
at
e
t
h
i
Va ves e v
a
ri a
lu
e
in tion
of
tre r
e
as l a
ur te
C
y dt
ha
ng sha o m
re o
e
ve
s
li n
m
ke
en
d
ts
C
to
ap
t
h
i ta
e
m
li
nc
er
ge
re
as
r
Va
e
ri a
s e tion
cu
rit in t
i e he
s
C
he va
ha
ld l ue
ng
fo o
e
rs f
in
al
sc
e
op
O
e
th
er
no
nm
on
R
et
es
or
ul
y
fi n t o
va
ria
an f t
ci he
tio
al
ns
y e 201
ar 4
31/12/2013
99 271
106 360
266 960
266 960
-1 666
1 957
77 326
76 547
779
779
-77 328
-76 549
-779
549 919
-
-1 013
31/12/2014
99 385
106 360
326 166
314 058
12 108
33 598
33 598
33 598
33 598
-1 013
33 598
114
76 549
-38 429
1 201
3 392
9 151
-13
10 383
-56
-2 736
-38 429
4 593
9 151
114
10 370
-2 792
565 509
Variation in shareholders' equity from January 1st to June 30th, 2015
CAPITAL
Issue prem ium
Reserves
Consolidated reserves
Unrealised gain and losses
Minority reserves
Result
Group result
Minority result
TOTAL
FONCIÈRE DE PARIS
31/12/2014
99 385
106 360
326 166
314 058
12 108
33 598
33 598
565 509
As
si
gn
m
en
to
fe
D
ar
iv
id
ni
ng
pa e nd
s
re s
nt d i
c o st r
Va
m i bu
pa te
ri a
ny d
de tion
by
riv
th
at in th
e
iv
es e v
Va
a
ri a
lu
e
in tion
of
tre r
e
as l a
ur te
C
y dt
ha
ng sha o m
re o
e
s ve
li n
m
ke
en
d
ts
C
to
ap
t
he
i ta
m
li
nc
er
ge
re
as
r
Va
e
ri a
se tion
cu
rit in t
i e he
s
C
he va
ha
ld l ue
ng
fo o
e
rs f
in
al
sc
e
op
O
e
th
er
no
nm
on
R
et
es
or
ul
y
to
va
fH
ria
tio
1
20
ns
15
54 988
-2 551
33 598
-39 813
52
262
3 299
314
3 299
52
364 385
2 052
-2 603
-372
2 052
-2 975
-33 598
-33 598
-
-39 813
24
416 822
52
30/06/2015
154 426
103 809
687 026
672 604
14 022
40 879
40 879
40 879
40 879
40 879
986 139
Appendix
to the
consolidated
financial statements as of
June 30th, 2015
Hôtel Marriott - 114-116 Route de la Reine,
92100 Boulogne-Billancourt
25
158-162 rue du Faubourg Saint-Martin,
75010 Paris
FONCIÈRE DE PARIS
26
Significant events
of the period
The consolidated financial statements at June 30th, 2015 cover the first six months of a twelve month period, opened
January 1st, 2015 and ending December 31st, 2015.
On May 12th, 2015, the General Meetings of Foncière de Paris SIIC and Foncière des 6ème et 7ème Arrondissements de
Paris (SIIC) approved the merger of Foncière des 6ème et 7ème Arrondissements de Paris (SIIC) by Foncière de Paris SIIC.
This transaction was considered as a business combination in compliance with the IFRS 3R standards. Goodwill of €3.9m
was registered. It was assigned to IDA (GEI deferred carry forwards) for €1.8m (non-valuated in the merger operation)
and to the Penthemont building complex (commercialised first-half of 2015) for the balance. The date of the takeover
of Foncière des 6ème et 7ème Arrondissements de Paris (SIIC) was effective on April 1st, 2015. The net asset transferred at
the time of the merger amounts to €998m, including €670m of investment properties and €460m of financial liabilities.
SIGNIFICANT EVENTS
AFTER BALANCE SHEET DATE
Over the reporting period, the Company sold three real
estate assets:
 “Rueil 250” building, located 250, rue de l’Empereur
in Rueil-Malmaison (27,300sq.m.)
A purchase agreement was signed beginning July 2015
in order to acquire the full ownership of a mixed-use
building complex, located 127-129, rue de l’Université in
Paris 7th, representing approximatively 12,400sq.m.
 The building located 4, rue de Lasteyrie in Paris 16th
(1,300sq.m.)
 The retail-building located 76-80, avenue du Général
Leclerc in Paris 14th (1,500sq.m.)
On July 21st, 2015, Fonciere de Paris Group acquired an
additional 5.5% in PHRV capital, bringing its total interest
to 99.9%.
Additionally, the Company signed a purchase
agreement for the acquisition of the ground plate of
the Holiday Inn Paris Saint-Germain Hotel, located 92,
rue de Vaugirard in Paris 6th. The Company already
owns the premises and operates the hotel through its
subsidiary GEI SAS.
27
1- ACCOUNTING METHODS AND PRINCIPLES
The financial consolidated statements are in thousands
of euros.
having no significant impact on the annual financial
statements. The effects on the half-year data for years
2015 and 2014 are described in the different related
notes in current appendix.
In application of European regulation 16/06/2002 of 19
July 2002 on the application of international
accounting standards, Foncière de Paris SIIC has
established the consolidated financial statements
pursuant to the first half year 2015, running from
January 1st, 2015 to June 30th, 2015 in compliance with
the IFRS reference framework as adopted in the
European Union and applicable at that date.
1-1 THE CONSOLIDATION SCOPE
Since the merger with Foncière Paris France occurred
on November 20th, 2013 and the merger with Foncière
des 6ème et 7ème Arrondissements de Paris occurred on
May 12th, 2015, the consolidated Group’s scope of
Foncière de Paris SIIC, parent-company, covers now
the following fully consolidated French companies:
This
reference
framework
includes
the
IFRS
(International Financial Reporting Standards), as IAS
(International Accounting Standards), and their
interpretations (SIC and IFRIC) published by the
International Accounting Standards Board (IASB). These
standards and interpretation are available in French on
the site:
Fully consolidated French companies :
> SA PHRV (94,4%)
> SAS Foncière Cofitem (100%),
> SAS SAGI IE (100%),
http://eurlex.europa.eu/JOHtml.do?uri=OJ%3AL%3A200
8%3A320%3ASOM%3AFR%3AHTML<
> SAS Mt Selwin (100%),
> SAS Hôtelière de la Villette (100%),
In accordance with IAS 34 standard “Interim Financial
Reporting”, the following condensed financial
statement cannot include all the required information
in IFRS framework and should be read in conjunction
with the annual consolidated financial statements
ended December 31st, 2014.
> SAS Hôtelière de Boulogne (100%),
> SAS Wilburys (100%)
> SAS Hôtelière de la Rue Danton (100%)
> SAS Groupement Européen de l’immobilier (100%)
> SARL La Maison Commune (100%),
> SCI Cofitem Boulogne (100%),
The establishment of the consolidated financial
statements
in
accordance
with
international
accounting standards implies that the Company makes
various estimates and uses certain realistic and
reasonable assumptions, particularly when valuing
financial instruments and the rental estate. The most
important estimates are given in the appendix.
> SCI Cofitem Levallois (100%),
> SCI Cofitem Dunkerque (100%),
> SCI 19 Leblanc (100%)
> SCI 54 Leclerc (100%)
> SCI 738 Kermen (100%)
> SCI Port Chatou (100%)
In particular, the investment properties are surveyed
and the valuation of interest rate hedging instruments is
assigned to counterparty banks.
> SCI Studios du Lendit 1 (100%)
Future final results may be different from these
estimates.
> SCI 4 Rue Danton (100%)
> SCI 136 Grenelle (100%)
> SCI 138 Grenelle (100%)
> SCI Bellechasse Grenelle (100%)
These accounting principles are identical to those used
for preparing the Group’s consolidated financial
statements as of December 31st, 2014 published in the
Registration Document D.15-0266 registered with the
AMF, with the exception of the standards and
interpretations newly adopted by the European Union
and which became mandatory on January 1st, 2015:
> SCI Saints-Pères Fleury (100%)
As a result of the acquisition end of June 2015 of 63.3%
of PHRV capital by Foncière de Paris SIIC, reaching
94.4% interest, PHRV is no longer consolidated by the
equity method but from June 30th, 2015 on, fully
consolidated. The control taken in PHRV did not
generate any goodwill. The released securities,
previously accounted for by the equity method,
resulted in a loss of €1.5 m.
> IFRIC 21 : taxes
> Annual improvements of the cycle (period) 2011-2013
IFRIC 21 interpretation anticipates the accounting of
the levied taxes by a public service as soon as the
liability to pay them arises. Therefore the accounting for
the liabilities cannot be spread in the Interim Financial
Statements, except if the chargeable event occurs
gradually. The effect of this interpretation concerns
mainly the non-refundable property and office tax
share. It reflects an increase of non-refundable
property charges, seen in half-year accounts, but
FONCIÈRE DE PARIS
1-2 CONSOLIDATION METHODS
All the companies are fully consolidated by global
integration method with the exception of Risque et
Sérénité, of which 43.24% is held by PHRV and which is
consolidated according to the equity method.
28
1-3 MAIN RESTATEMENTS MADE IN THE CONSOLIDATED FINANCIAL STATEMENTS
 60% of the capital gains on the sale of buildings and
of holdings in companies having the same purpose
as SIICs or of securities of subsidiaries subject to
corporate income tax and having opted for this
regime, before the end of the second financial year
following the year of assignment.
Goodwill or negative goodwill:
The grouping of the Companies is accounted
according to IFRS 3 regulations. The acquisition cost
corresponds to a valuation at fair value at the date of
the exchange of given assets and liabilities and the
equity instruments issued in exchange of the bought
entity. The buildings purchased by the Company do
not represent a grouping of companies according to
IFRS 3 regulations because they do not represent
branch acquisitions but individual asset purchases.
Therefore they are considered as building acquisitions.
 100% of dividends coming from SIIC subsidiaries,
before the end to the year following their realisation.
The Company has three distinct business sectors for
taxation:
 The SIIC status for its real-estate activity exempt of
corporate income tax, subject to the obligation of
distributing dividends,
When a company comes into the scope, the goodwill
and negative goodwill resulting from the difference
between the cost of acquiring the shares and the
proportion that they represent in the acquired
shareholders’ equity is treated as:
 The financial leasing sector former to December 31st,
1995 exempt of corporate income tax,
 All other transactions submitted to corporate income
tax.
 Fair value adjustment relating to certain identifiable
elements of the assets and liabilities, classified with
the items on the balance sheet concerned and
amortised according to the same rules as the assets
to which they are attached;
Financial and operating expenses relating to each
sector are allocated in accordance with the
administrative instructions of September 25th, 2003.
Deferred taxes resulting from other consolidation entries
and specific restatements are recorded on the
balance sheet and income statement. The same
applies to deferred taxes resulting from significant
temporary differences relating to identifiable assets
and liabilities.
 Goodwill, if there is any, booked:
> When it is positive, to the asset side of the
balance sheet and subject, at each
closure, to a value analysis,
> When it is negative, it is shown in the
income statement.
No discount is applied to deferred taxes.
Financial leasing transactions: loan to clients
The deferred tax liabilities result from the fair value
accounting of the available-for-sale securities.
Financial leasing transactions are mainly assigned to
the category “Loans and receivables on clients”. Thus
in accordance with the IAS 39 standards, they are
valued initially at fair value and subsequently at cost
amortised using the effective interest rate method. The
effective interest rate is the rate that exactly discounts
future cash flows to the original net outstandings. This
rate includes the discounts and the revenue and
transaction costs incorporated into the effective
interest rate, where applicable.
At June 30th, 2015 the income taxes and deferred taxes are
detailed as follows (in €k):
Income tax on hotel activity
Income tax on leasing activities and taxable sector
Deferred taxes
Contribution on distributed revenues
TOTAL
Differed taxes:
Having opted for Listed Real Estate Investment
Company (SIIC) tax status, Foncière de Paris SIIC is
subject to a specific form of taxation that provides for a
full exemption from corporate income tax on property
leasing activity (renting property transactions including
arbitrages). The exemption is conditioned by the
distribution of:
226
-609
4
259
Inter-company transactions:
When consolidating the accounts, the receivables,
debts, commitments and reciprocal transactions
between consolidated companies are eliminated.
Likewise, intra-group revenue and expenses were
neutralised. Dividends from intra-group shareholdings
are deducted from consolidated income and booked
to consolidated reserves.
 95% of the earnings from property leasing revenues
before the end of the financial year following the
year of assignment,
120
29
1-4 OTHER VALUATION METHODS AND ACCOUNTING PRINCIPLES
1.4.1. Renting property transactions
The renting property transactions are based either on
investment properties purchased for renting according
to the Group’s policy or on buildings with financial
leasing agreements which were cancelled and that
are now rented under business leases as decided by
the Company.
Asset valuation:
IAS 40 defines the rules for recognising investment
properties. When valuing fully-owned buildings, this
arrangement leads to a choice being made between
the “fair value” method and the “depreciated
historical cost” method.
Exceptionally, for buildings of very high quality, made of
dressed stone, and either classified as historical
monuments (ISMH) or located in immediate proximity to
Paris historic monuments, the main structure is
depreciated over a period of 90 years.
In case the “fair value” method is chosen, the concept
of depreciation becomes inapplicable. In case the
“historical cost” method is chosen, the approach by
components must be established to depreciate the
buildings. This approach consists in distinguishing several
elements that compose the value of a given building
(land, main structure, fixtures and fittings, etc;) each
depreciated over their own period of use.
Each component’s term of depreciation is calculated
on the basis of the date of the building is bought into
use, except when a component is replaced (for
example, during a refurbishment), in which case the
latest component replacement date applies. Residual
value is not used for any of the identified components.
The Company provides, as supplemental information,
the market value of the investment properties in its
portfolio in the appendix. The Company’s portfolio thus
assessed each year by independent appraisers with
recognised competence in real estate. The market
value approach involves the use of the so-called
income capitalisation method, or of the discounted
cash flow method, which is then cross-checked using
the so-called sales comparison method. Any change in
this value is closely correlated with the trends in the
real-estate market.
When IFRS standards were first adopted in 2005, and
since this date, Foncière de Paris SIIC decided to not
revalue its investment buildings. The company opted to
keep the historical cost method and continues to
depreciate the buildings in the investment properties
using the “components” method. This method allows a
stock of unrealised capital gains to be retained on the
property estate.
For each type of asset, the gross construction values
have been broken down by components, determined
according to current technical data (breakdown
according to the estimate current cost of new
reconstruction).
Other
than
the land, seven
components have been identified:
These valuations are made according to IFRS 13
standards.
On this basis, it is stipulated that the
appraisers have not identified a high and best use
other than the one applied by the Company.
The above mentioned valuation methods rely on
observable as well as on unobservable parameters. The
fair value of the Company’s buildings are considered
as level 3 (are defined level 3) according to the
prevailing standards IFRS 13.
Duration of depreciation
Land
-
Main structure
30 to 90 years
depending on the nature of the
building
Façades and roofs
15 to 45 years
building
Technical installations
15 to 25 years
building
Car park construction
20 years
Façade rendering
15 years
Fixtures and fittings
9 years
Air conditioning
6 years
FONCIÈRE DE PARIS
Supplemental information on the application of these
methods is now published, in accordance with the
requirements of this standard and prevailing level of the
defined fair value.
30
The main valuation criteria used by the appraisers by asset category are provided below:
Asset type
Offices
Hotels
(property and business)
Other premises
Retail outlets/
Restaurants
Market value of the appraised
properties excluding transfer duties
€1,695m
€231m
€135m
€39m
Market value excluding transfer
duties/sq. m.
€1,000 - €19,390
€6,200 - €16,105
€350 -€1,500
€496 - €12,250
Market value excluding transfer
duties/room
Capitalisation rate
(1)
Discount rate
€65,000 - €570,000
3.70% - 8.00%
6.25% - 7.25%
8.00% - 11.00%
4.00% - 7.25%
3.85% - 7.50%
6.20% - 7.00%
8.00% - 9.50%
4.50% - 7.20%
(1) Net rental income + market value of vacant buildings/market value including transfer duties.
The buildings that have not been appraised are mainly assets under construction.
Acquisition expenses:
Leases:
The acquisition fees, in accordance with IFRS standards,
are incorporated in the gross value of the capital
assets.
Borrowing costs:
The IAS 17 standard specifies that the financial
consequences of all of the provisions defined in the
leasing contract must be divided over the firm period
of the lease (any rent-free periods granted to lessees
are divided over the first firm period of the lease).
Following the mandatory application of the IAS 23
standard on January 1st, 2009, borrowing costs are
incorporated as fixed assets.
If it appears that receivable revenue entered during a
rent-free period presents a risk of non-recovery, a
provision is constituted.
Borrowing costs attributable to the acquisition and
renovation of an asset are capitalised during the
period of renovation of the asset. These borrowing costs
form the total cost of this asset.
Concerning operating leases, the Group Foncière de
Paris SIIC applies a 100% index based on the evolution
of the index of the signed lease (ICC. IRL.ILC or ILAT).
Depreciation:
During the first semester of 2015, no borrowing costs
were incorporated in the total cost of an asset (€252k in
2014).
The IAS 36 standard imposes a check on whether an
indication exists that shows that an asset may have lost
value. An indication of impairment may be:
These costs are calculated from the real rate for
collateralised funding and from an average weighted
rate for non-collateralised funding. These rates are
before any effect of rate hedging instruments.
 a significant drop in the market value of the asset,
 a change in the technological, economic or legal
environment.
Only borrowing costs that may be associated with the
funding of eligible assets are capitalised. The other
borrowing costs are booked as expenses.
For this test, the capital assets are grouped into Cash
Generating Units (CGU). For the Company each
building is considered as a CGU.
The level of any impairment is determined on the basis
of the change in the recoverable amount, which
corresponds to market value or going-concern value,
whichever is higher. The market value is determined on
the basis of expert appraisals centred on two
approaches: the so-called sales comparison method
and the so-called income capitalisation method.
This depreciation, which constitutes the non-definitive
and non-irreversible drop in the value of certain
building assets in relation to their book value, is booked
to assets, where applicable, reducing them, under the
“Impairment of Assets” line item.
31
1.4.3. Financial leasing transactions
Investment properties held for sale:
The financial leasing transactions item, the details of
which are given in 2.1 and covers the following
elements:
In accordance with IFRS 5 standard, investment
properties in the process of being sold are, where
applicable, presented under a separate line item on
the balance sheet.
Financial leasing contracts:
In a financial leasing contract, the lessor transfers most
of the risks and benefits of the asset to the lessee. It is
treated as funding granted to the lessee for the
purchase of an asset.
Doubtful accounts
An account is considered doubtful when it remains
unpaid for more than three months. Rental payments
classified as doubtful are provisioned at 100% of their
amount excluding taxes, with any security deposits or
collateral obtained deducted.
The current value of payments due pursuant to the
contract, increased, if applicable, by the residual
value, is entered as a receivable. The net income from
the transaction for the lessor corresponds to the
amount of interest on the loan and is entered on the
income statement under the heading “Interest and
similar revenue”. The rent received is divided over the
duration of the financial leasing contract, allocating it
to capital amortisation and interest so that the net
income represents a constant rate of return on the
outstanding residual amount. The interest rate used is
the implicit interest rate for the contract.
Security deposit received by the lessees
The security deposits paid by the lessees of investment
properties were not discounted because their
incidence would not be significant.
1.4.2. Transactions related to hotel activity
Inventories:
The inventories are related to the activity of the Hotel
Companies. They are valued using the first in, first out
method.
Capital assets under construction:
The capital assets under construction correspond
mainly to the funding of transactions that have not yet
come into operation, as well as funding transactions
already in operation but interrupted due to ongoing
work.
An impairment of inventories equal to the difference
between the gross values determined using the above
cited procedures and the current market value or the
realisable value, less business expenses relating to the
sale is recorded when this gross value is greater than
the other term stated.
Capital assets temporarily not leased:
Non-leased buildings correspond to transactions where
the financial-leasing contract has been terminated and
the premises returned. They are valued at their
historical value (with any tax depreciation deducted).
They continue to be depreciated by amortisation and,
if necessary, are subject to provisions for depreciation.
These buildings are intended either to be leased or to
be sold.
Related receivables:
The related receivables correspond in particular to rent
receivable.
Provisioned receivables:
A receivable is provisioned in the case of an unpaid
amount more than 3 months old. Rental payments
classified as doubtful are provisioned at 100% of their
amount excluding taxes, with any security deposit or
collateral deducted.
FONCIÈRE DE PARIS
32
1.4.4. Financial instruments
The Company will have to recognise depreciation if
one of two criteria is fulfilled.
Foncière de Paris SIIC applies IAS 32 and 39 standards
since January 1st, 2005.
Significant and sustainable depreciation criteria
are determined as follows:
Classification and valuation of financial assets
and liabilities:
 a negative gap between the fair value and the
purchase price greater than 50%
The IFRS standards require financial instruments to be
defined by category and valued at each closure
according to the retained category.
 a negative gap between the fair value and the
purchase price over a period greater than 36 months
Therefore, four categories of assets have been defined:
For investment properties, only a valuation at market
value is given in the appendix, with financial leasing
transactions remaining expressed at book value.
 trading securities, valued at fair value through the
income statement,
 securities available for sale, valued at fair value
through equity,
There are two categories of financial liabilities:
 assets held to maturity, booked at amortised cost,
 trading liabilities, valued at fair value through the
income statement,
 loans and receivables, booked at amortised cost.
 other liabilities, entered as amortised costs.
Non-consolidated securities held by Foncière de Paris
SIIC are classified in the category of assets available for
sale, with the exception, if applicable, of marketable
securities held for the short term, which are classified as
trading assets.
All financial liabilities are entered on the balance sheet
at amortised historical cost.
As most loans were contracted at variable references
as bullet loans and the issue fees were not significant,
the impact of amortisation on effective interest rates is
therefore not significant.
After analysis, it was decided that when the market for
listed securities (classified in the category of assets
available for sale) held by Foncière de Paris SIIC is
inactive, the fair value of these securities would be
determined by a multi-criteria approach based on the
average between the last net published asset price (to
which a discount is applied) and the market price upon
closure of the concerned security.
Market risks:
The Company has no market activity in itself. When
hedging its interest rate risk, it acquires hedging
instruments (caps and swaps), the aim of which is to
protect its variable-rate debt against an increase in
interest rates. Its exposure to market risk is therefore very
limited, as these transactions are only implemented to
back clearly-identified real-estate projects defined with
the aim of managing overall interest-rate risk. Therefore
its exposure to market risks is very limited.
In case of an active market, the fair value is
determined based on the market price of the security
upon closure.
The March 2009 amendment to the IFRS 7 standard
creates an obligation to provide information on the
three levels of fair value depending on whether the
instrument is quoted in an active market (level 1), or is
valued using techniques based upon observable
market data (level2), or whether it is based on nonobservable data (level 3).
Also the Company acquires, for investment purposes,
securities in listed companies with an activity similar to
its own. Therefore, most of the non-consolidated
securities held by Foncière de Paris SIIC with the aim of
long-term holding are classified in the category of
assets available for sale. Any unrealised capital loss
would be fully provisioned using appropriate methods
for analysing criteria for significant and sustainable
depreciation.
It should be noted that the Company’s assets available
for sale come under level 1 for securities for which the
market is active, level 2 for securities for which the
market is inactive and level 3 for unlisted securities.
Available-for-sale assets
Amounts (€k)
Level 1: securities for which the market is active
89,244
Level 2: securities for which the market is inactive
-
Level 3: unlisted securities
2,963
Total
92,207
On June 30th, 2015, the Company held listed securities
available for sale at a cost price of €76.2 m. A variation
in value by +/- 5% of these securities would affect
consolidated shareholders’ equity
(€986.1 m) by +/-0.39%.
33
Treasury shares:
When the hedging relationship is established (hedging
future cash flow or hedging investment), the change in
value of the instrument, corresponding solely to the
effective part of the hedge, is entered into
shareholders’ equity.
The Board of Directors is authorised, for a period of 18
months, to carry out stock market transactions on the
Company’s shares in order to stabilise their market price
under the conditions set by the law. The General
Meeting of May 12th, 2015, decided to renew this
program.
In all other cases, the change in value is directly
entered into profit/loss.
During the first half of 2015, the Company acquired
35,127 own shares for an average price of €113.81 and
sold 107,065 for an average price of €114.75.
Furthermore, the Company transferred 5,610 shares as
a former attribution of free shares.
Foncière de Paris SIIC covers its interest-rate risk by
purchasing swaps and caps contracts. The Company
has contracts guaranteeing an upper rate limit
between 0.50% and 4.5% (caps) for notional
outstanding of € 1,520m (of which €665m at deferred
start) and swaps for a total amount of €863m (of which
€465 m. at deferred start). Based on the situation as of
June 30th, 2015, an average increase in interest rates by
100 basis points beyond -0.014% (Euribor 3-month rate
on June 30th, 2015) would have a negative impact on
cash flow of €4.9m.
Thus, on June 30th, 2015, it held a total of 180,129 shares,
for a net book value of €17,218 k (of which 8,245 shares
were freely allocated to personnel and fully provided
for their value of €723 k) and representing a market
value of €20,066 k. These treasury shares are recorded
in the balance sheet at € 17,218 k at their acquisition
cost (excluding shares freely allocated and fully
provided).
All of the caps are currently out-of-the-money.
Accordingly to the meaning of the IFRS, they therefore
do not correspond to effective coverage, given the
current configuration of rates. Their only value
corresponds to time value, for which the variation is
always entered to profit/loss according to IFRS
standards. These caps had a positive value of € 5,943k
on June 30th, 2015 compared to €1,248k on December
31st, 2014.
The application of IAS 32 and 39 standards involves
presenting shares deducted from shareholders’ equity.
This revenue from any sale of treasury shares is
allocated directly as an increase in shareholders’
equity, so that any capital gain or loss on sale does not
affect the net result of the year.
Interest-rate hedging instruments:
The ineffective part, entered to profit/loss, stood at
€2,424k on June 30th, 2015 against €-6,138k on
December 31st, 2014.
Foncière de Paris SIIC uses derivative instruments as part
of its policy to hedge interest-rate risk. These
instruments, presented at their face value and offbalance sheet under French standards, constitute
financial assets and liabilities and must be booked in
the balance sheet for their fair value according to IFRS
standards.
Concerning the swap contracts held by Foncière de
Paris SIIC, a hedging relationship was established
according to the meaning of IFRS standards. This is
because they are held in order to hedge the debt
subscribed at variable rates, in order to protect the
Company against an increase in interest rates.
Valuations of swaps that are not hedged by loans are
not entered on the income statement.
These instruments must be valued according to
valuation techniques based on observable market
data (being defined as level 2 by IFRS 7 standard).
Valuation of hedging instruments is based on
assumptions on future interest rates, for which the level
varies according to economic forecasts. So the level of
rates actually observed may be different from those
expected when they were valued. Nevertheless, this
uncertainty causes modest impact on the accounts of
the Company because it retains its hedging instruments
until maturity, in accordance with the hedging principle
used under its policy on hedging interest-rate risk.
The effective part of the variation in the value of swaps
is therefore entered to shareholders’ equity. The swaps
had a negative value of €8,241k on June 30th, 2015, to
be compared with the negative value of €7,082k on
December 31st, 2015.
A deferred tax asset was noted on June 30th, 2015 on
the valuation part of caps and swaps corresponding to
an effective hedging for an amount of €1,594k.
There is no ineffective part of swaps on June 30th, 2015,
which would have been recorded in profit/loss. The
deferred tax liability on the ineffective part of caps
stands at €224k.
These instruments must be qualified as hedging or nonhedging transactions, for which effectiveness must
subsequently be checked.
The revenue and expenses related to these instruments
that are actually paid or received are recorded on the
income statement under the headings “interest and
similar revenue” and “interest and similar expenses”
and under “gains or losses on financial instruments at
fair value through profit/loss” for the unrealised part
generated when valuing these instruments.
FONCIÈRE DE PARIS
34
Liquidity risk:
Provision for retirement benefits
The liquidity risk is traditionally low, given the structure of
employment and resources of Foncière de Paris SIIC.
The maturities of the financial liabilities are presented in
a summary table in §2.10.
The IAS 19 standard requires that all present and future
commitments of the Company to its personnel in the
form of remuneration or benefits be taken into
account. Personnel costs and benefits must be entered
to expenses over the period of acquisition of
entitlements.
Liquidity risk is managed through constant monitoring of
the period of funding, keeping permanent credit lines
available and diversifying resources. A forecast cash
flow table is used for this.
Short-term benefits (salaries, annual leave, incentive
schemes,
profit-sharing,
employer’s
top
up
contribution…) are recognised as expenses in the
financial year.
On June 30th, 2015, the Company had cash assets of
€22m and undrawn credit lines of €567m.
Concerning post-employment benefits, as far as the
Company is concerned, the contribution paid to
obligatory pension schemes are recorded in the
profit/loss for the period (contributions defined and
pensions paid by specialised external organisations).
1.4.5. Payment in shares and other employee
benefits
Excluding provision for retirement (€2,900k on June 30th,
2015), there is no other long-term or post-employment
commitment to be provisioned for personnel benefits.
Payment in shares
The IFRS 2 standard requires the income statement to
show the effect on all transactions involving payment in
shares.
1.4.6. Loans and financial debts
Payments in shares are valued at their fair value
(determined on the basis of the average acquisition
value for the shares in question) which for the year of
acquisition constitutes a personnel expense for which
the counterpart increases shareholders’ equity
(meaning that it has no impact on the net situation of
the Company).
The financial debts breakdown is presented in §2.10.
At issuance, these interest-bearing loans are recorded
at fair-value and subsequently, at amortised cost. The
transaction costs attributable to loan issuances are
deducted from the financial liabilities value and are
then amortised over the term of the loan. These fixed
transactions costs, recorded in the balance sheet
assets amounted to €4,887k, on June 30th, 2015.
On June 30th, 2015, no stock-option plan was
implemented for corporate officers and employees of
the Company.
On December 22nd, 2010, Foncière Paris France issued
subordinated bonds redeemable into shares (OSRA).
After the merger of this Company, these OSRAs have
been carried through by Foncière de Paris SIIC.
The General Meeting of May 12th, 2015 also authorised
the Board of Directors to grant free shares, on one or
more occasions, to executives or employees of the
Company and of related companies defined in Article
L225-197-2 of the French Commercial Code, knowing
that it shall be the Board of Directors’ responsibility to
identify the beneficiaries and to set the conditions for
the share grants.
A financial liability is defined as a contractual
obligation to deliver cash or another financial asset,
while equity is a contract granting the holder an
interest in a company. Although the aim of the issuing
transactions is the redemption of matured shares, the
issuing contract requires delivering cash in certain
specific cases. As a result, the OSRAs were fully
qualified as financial liabilities and are therefore valued
and noted in financial debts for the amount of the debt
which would be redeemed in cash on the assumption
of non-redeemed shares.
The total number of free shares granted may not
represent more than 1% of the equity capital, the
beneficiaries’ shares shall not vest until the end of a
vesting period of at least two years, and the
beneficiaries must hold the shares for a minimum of two
years from the end of the vesting period.
On June 30th, 2015, there were 663,302 OSRAs 2010
valued €110 for a period going to December 22nd,
2017.
This authorisation shall be valid for 38 months.
The impact of the free shares allocated during the first
half of 2015 is presented in note 3-1.
The remuneration of OSRA 2010 is of 6.5% of the face
value until the fourth anniversary of the issue date. From
there on, the remuneration is set at the higher of the
two amounts: 2% of the face value or the amount of
the dividend per share for the ended financial year.
35
1.4.9. Standards and interpretations applicable on
June 30th, 2015
The bond issues redeemable for shares are subject to
certain conditions which may lead to cash
redemption, mainly:
The following interpretations are not subject to
mandatory application or to early application for the
financial statements of June 30th, 2015:
 Loss for the Company of the benefits as provided in
the Article 208 C II in the General Tax Code (SIIC
status).
Standards and interpretations adopted by the
European Union which applications are not yet
mandatory for the financial statement:
 Non respect by the Company of the coverage ratio
EBITDA/LBO (financial costs) of minimum 1.5,
 Non respect by the Company of the coverage ratio
LTV of 70% maximum,
 Amendment IAS 19: employee benefits,
 Opening of collective procedure.
 Annual improvements of IFRS’ cycles 2010-2012.
 In the event of a tender offer or a public exchange
on the Company’s securities, the holders of OSRAs
may request repayment in cash (optional
repayment).
Standards and interpretations that have not come
into force and not been adopted by the European
Union:
 IFRS 9: Financial instruments,
EBITDA: gross consolidated operating profit
 IFRS 14: Regulatory deferral accounts,
Senior financial expenses: financial expenses of bank
credits excluding OSRA.
 IFRS 15: Revenue from contracts with customers,
 Annual improvements of IFRS’ cycles 2012-2014,
LTV: capital remaining due on bank credits divided by
the economic value of the real-estate assets.
 Amendments to IAS 16 and IAS 38: Clarification on
acceptable depreciation methods,
 Amendments to IFRS 10 and IAS 28: Contribution or
sales of assets between the group and equity
accounted entities,
1.4.7. Operational sectors
The IFRS 8 standard requires identifying the main activity
segments followed by the main operational decision
maker and for each specific segment, disclosure of
each segment result, the segment’s assets and the
segment’s liabilities.
 Amendments to IFRS 11: Acquisition of interests in joint
operations,
 Amendments to IAS 16 and IAS 41: Producing plants,
 Amendments to IAS 27: Use of the equity method in
separate financial statements,
Foncière de Paris SIIC presents a detailed analysis for
each main segment identified by the Executive Board
(see § 2-24):
 Amendments to IFRS 10, IFRS 12 and IAS 28:
Investment entities – exemption of companies from
the financial statements
 Leasing activity (investment properties),
 Financial leasing activity (customer loans),
 Amendments to IAS 1: presentation of financial
statements – providing information on initiatives.
 Hotel activity (hotels of the Group),
The process of determining the potential impact on the
consolidated financial statements of the Group is
underway. The Group does not, at this stage, expect
any significant impact on its consolidated financial
statements.
 Other activities (available-for-sale securities).
Concerning all the segment liabilities, the financial debt
finances one segment or the other without
differentiation and cannot be detailed by segment. In
fact the Group’s bank debt is totally contracted by the
parent-company Foncière de Paris SIIC, as nonallocated borrowings. Therefore, the liabilities are
brought together, grouping the different segments.
1.4.8. Discounting non-current liabilities
The concerned items are mainly security deposits and
provisions for risks and expenses. The discount of these
items is not significant in regards to the amounts and
maturities.
FONCIÈRE DE PARIS
36
1-5 PRINICPLE TRANSACTION BETWEEN RELATED PARTIES
Certain corporate officers of Foncière de Paris SIIC also have appointments in PHRV with which they have capital
relationships. On June 30th, 2015, they are as follows:
Foncière de Paris SIIC
PHRV
Sophie BEUVADEN
Chairwoman of the Supervisory Board
Member of the Board
François THOMAZEAU
Chairman of the Executive Board
Chairman of the Board of Directors
Olivier RICHÉ
Managing Director
Member of the Executive Board
Chief Executive Operator
Foncière de Paris SIIC with the parties related to it, has
concluded no service-provision contract and has
carried out no transaction intended to transfer
resources, services or obligations either free of charge
or in return of payment. The Company is totally
independent and has its own management team.
There is no salary-charge re-invoicing between the
various companies having corporate officers in
common, and no benefits are granted to any director
pursuant to his/her functions in another company.
Each company pays its corporate officers according to
the work performed by them for its benefit.
On June 29th, 2015, Foncière de Paris Group acquired
63.3% of PHRV capital, increasing its interest up to 94.4%
of the capital. Additionally on July 21st, 2015 Foncière
de Paris Group acquired 5.5% of PHRV capital
increasing its interest up to 99.9% of the capital. These
transactions were placed under the regulated
agreements procedure.
1-6 INCOME PER SHARE
The result per share is equal to net income attributable to the holders of ordinary shares of the parent company divided
by the weighted average number of shares of the financial period, which is equivalent to the outstanding ordinary
shares at the beginning of the period less the value of the treasury shares, adjusted by share refunding or issuing during
the period and weighted by time factor if needed.
The diluted earnings per share calculation takes into account all outstanding potential dilutive ordinary shares during
the period. The diluted earnings are equal to the earnings attributable to ordinary shareholders of the parent company,
increased by the dividends net of tax or other net element in respect of the dilutive potential ordinary shares, of the
interests, net of tax, accounted regarding the dilutive potential ordinary shares (recorded as expenses) and any other
changes in income or expenses that would result from the conversion of the dilutive potential ordinary shares.
37
2- INFORMATION ON THE ITEMS OF THE BALANCE SHEET
2-1 LOANS AND RECEIVABLES ON CLIENTS
2.1.1. Financial leasing transactions (net outstandings in €k)
Real estate financial leasing transactions
Movable property financial leasing transactions
TOTAL NET OUTSTANDINGS
30/06/2014
31/12/2014
30/06/2015
425 465
406 821
344 556
5 685
4 433
3 646
431 150
411 254
348 202
2.1.2. Transactions with clients
30/06/2014
31/12/2014
30/06/2015
Clients accounts and related receivables
17 921
18 708
17 954
Depreciation client's accounts and related receivables
-4 764
-4 909
-5 057
TOTAL NET CLIENTS
13 157
13 799
12 897
The transactions with clients correspond to loans and current accounts.
2.1.3. Maturities of financial outstandings for financial leasing transactions
Financial leasing and similar transactions
D<=6m
6m <D<=1year 1year<D<=5years
13 527
28 588
94 828
D>5years
Total
211 259
348 202
2-2 INVESTMENT PROPERTIES
2.2.1. Variation in gross value
31/12/2014
Increases
Reductions
Transfers
30/06/2015
Investment properties
964 413
784 030
1 320
-8 907
1 738 216
Capital assets under construction
133 320
87 065
148 219
-
81 658
-4 580
8 927
276 959
14 334
1 184 798
932 249
82 978
-4 560
2 029 509
TOTAL
2.2.2. Variation in amortisation and depreciation
31/12/2014
Increases
Reductions
Transfers
30/06/2015
Amortisation on investment properties
115 394
14 663
747
-2 612
126 968
Depreciation on investment properties
5 877
10 043
2 103
641
555
10 146
-1 901
2 611
5 524
3 149
131 314
17 407
11 448
-1 902
135 372
TOTAL
The depreciation on investment properties, of an amount of €5,524k (compared to a net book value of
€1,882,952k) was determined from a point of view of long-term detention, including a possible drop in rental
values.
FONCIÈRE DE PARIS
38
2.2.3. Summary statement of investment properties
Gross value
2 015 175
TOTAL
Cum ulative
depreciation
and/or
provisions
132 223
Net value
1 882 952
14 334
3 149
11 185
2 029 509
135 372
1 894 137(1)
Of which capital asset under construction: € 276,959k.
The net book value of investment properties amounts to €1,894,137k on June 30th, 2015.
All assets have been appraised by external surveys on June 30th, 2015, except assets to be sold valued by
sales’ agreements and properties held for sale valued at net value.
The unrealised capital gain on investment properties in operation amounts to €252,918k (excluding hotel
operating assets) including depreciations of an amount of €7,424k of which €1,900k on buildings held for sale.
(see § 2.2.2).
2-3 HOTEL OPERATING CAPITAL ASSETS
2.3.1. Variation in gross value
31/12/2014
Increases
Reductions
Transfers
30/06/2015
59 706
183 733
-
-
243 439
TOTAL
59 706
183 733
-
-
243 439
2.3.2. Variation in amortisation and depreciation
31/12/2014
Increases
Reductions
Transfers
30/06/2015
Depreciation on hotel operating capital assets
5 624
29 029
-
-
34 653
TOTAL
5 624
29 029
-
-
34 653
2.3.3. Summary statement on hotel operating assets
Gross value
243 437
Cum ulative
depreciation
and/or
provisions
34 651
Net values
208 786
243 437
34 651
208 786 (1)
TOTAL
(1) Of which capital assets under construction: €896 k
The net book value of the operating hotel assets stand at €208,786k on June 30th, 2015.
External appraisals show an unrealised capital gain of €37,021k.
39
2-4 OWN CAPITAL ASSETS – TANGIBLE AND INTANGIBLE
31/12/2014
Increases
Reductions
Transfers
30/06/2015
1 218
579
-
-
1 797
Depreciation on ow n property, plant and
equipment
632
380
-
-
1 012
Net book value of ow n property, plant
and equipm ent
586
199
-
-
785
Ow n intangible assets
7 686
804
-
-
8 490
Depreciation on ow n intangible assets
2 162
489
-
-
2 651
Net book value of ow n intangible assets
5 524
315
-
-
5 839(1)
Ow n property, plant and equipment
(1) Of which €390k of intangible hotel operating assets and an intangible goodwill of net value of €70k recorded since the first consolidation
of Foncière Cofitem in 2004, as well as an intangible goodwill of net value of €5,354k recorded since the first consolidation of Wilburys in
October 2014.
The other own tangible capital assets (€785k) are composed of property, plant and equipment exclusively
comprising property fixtures and fittings, office equipment, IT equipment, movable property and transport
equipment used for exercising the Company’s activity.
2-5 PARTICIPATION IN ASSOCIATED UNDERTAKINGS
(IN THOUSANDS EUROS)
PHRV
Foncière des 6ème et 7ème
Arrondissements de Paris
Risque et Sérénité
TOTAL
30/06/2014
31/12/2014
Increases
Reductions
30/06/2015
5 647
5 524
-
-5 524
-
88 232
91 078
-
-91 078
-
-
-
3 683
-
3 683
93 879
96 602
3 683
-96 602
3 683
2-6 SECURITIES IN ASSOCIATED UNDERTAKINGS
2.6.1. Contribution of securities in associated undertakings
The consolidation scope of Foncière de Paris SIIC Group has changed during the first half year of 2015. PHRV
has been fully consolidated since June 29th, 2015 and Foncière de 6ème et 7ème Arrondissements de Paris was
merged on April 1st, 2015.
Risque et Sérénité entered the consolidated scope on June 30th, 2015. It therefore has no contribution to the
net income for this first period of 2015.
% of
shareholding
Value of the
securities in
associated
undertakings
Risque et Sérénité
40,83%
3 683
-
-
-
TOTAL
40,83%
3 683
-
-
-
Contribution to
group
Share in Contribution fo
consolidated
profit/loss
profit/loss
reserves
2.6.2. Financial information on associated undertakings
Risque et Sérénité(1)
Result
965
Net financial
revenue Fixed assets
1 028
-
Financial
assets
Trade
payable
7 261
21
Tax and
social
security
debts Other debts
(1) On June 30th, 2015, interim financial result for Risque et Sérénité which ends its financial year on September 30th.
FONCIÈRE DE PARIS
40
Financial
liabilities
1
2-7 OTHER NON-CURRENT ASSETS
(N THOUSANDS OF EUROS)
30/06/2014
31/12/2014
30/06/2015
93 879
96 602
3 683
690
9
14
Available-for sale securities
83 572
84 781
92 207
of which listed securities
Interest-rate instruments (caps)
80 993
2 450
83 808
1 248
89 244
5 943
NET VALUES
Securities in associated undertakings
Securities and receivables held to maturity
Deferred tax assets
2 788
2 252
4 779
Other receivables
1 542
9 663
742
Gross values
Provisions
30/06/2015
Renting property related receivables
Doubtful accounts
Revenue receivable
13 251
2 006
22 860
1 700
-
13 251
306
22 860
TOTAL
38 117
1 700
36 416
4 101
5 613
2 585
4 757
-
4 101
856
2 585
TOTAL
12 299
4 757
7 542
OVERALL TOTAL
50 416
6 457
43 959
2-8 CHANGE IN OPERATING RECEIVABLES
RENTING PROPERTY
FINANCIAL LEASING TRANSACTION
Related clients' accounts
Related doubtful accounts
Revenue receivable
Application of IFRIC 21 interpretation includes recording additional receivables of €5,173k of due taxes spread over 12
months in the financial statements. On June 30th, 2014, the application of IFRIC 21 increased the receivables of €5,160k
for the period.
2-9 CHANGE IN MISCELLANEOUS RECEIVABLES
30/06/2014
31/12/2014
30/06/2015
4 323
3 920
4 845
Advance payments
Prepaid expenses
Other miscellaneous receivables
150
1 211
17 435
34
831
3 540
1 894
1 870
4 612
TOTAL
23 119
8 325
13 221
MISCELLANEOUS RECEIVABLES
Government (corporate income tax -VAT)
2-10 MATURITIES OF FINANCIAL LIABILITIES
FINANCIAL LIABILITIES
Fixed term
On demand
TOTAL
Net values
1 465 709
Less than 3
m onths
109 258
3 m onths-1
year
132 749
1 to 5 years
976 459
More
than 5 years
247 243
13 866
12 890
976
-
-
1 479 575
122 148
133 725
976 459
247 243
Fixed rate
308 578
Variable rate
1 157 131
Total
1 465 709
9 514
4 352
13 866
318 092
1 161 483
1 479 575
The financial liabilities are broken down as follows:
FINANCIAL LIABILITIES
Fixed term
On demand
TOTAL
The loans and financial liabilities are accounted for at historical depreciated cost and not on fair value.
41
2-11 MISCELLANEOUS NON-CURRENT LIABILITIES
DIFFERED TAX LIABILITIES
30/06/2014
1 369
31/12/2014
1 957
30/06/2015
8 023
OTHER DEBTS (due in m ore than one year)
13 786
11 279
16 380
Security deposits
13 786
11 279
16 380
TOTAL
15 155
13 236
24 404
2-12 PROVISIONS FOR CONTINGENCIES AND CHARGES
30/06/2014
210
Allocations/
Merger
31/12/2014 contributions
721
169
Recoveries
184
-
30/06/2015
706
Used
No t used
Provisions for retirement benefits
Differed taxes
2 296
-
1 875
-
1 844
-
75
-
-
3 644
-
TOTAL
2 506
2 596
2 013
259
-
4 350
30/06/2014(1)
24 265
31/12/2014
15 892
30/06/2015
13 820
Security deposits
Trade payables
Tax and social security debts
Interest provisions for sw aps
Accruant accounts (including rent invoiced in
advance)
1 842
5 107
16 856
989
2 849
8 732
8 667
315
2 607
11 732
23 244
587
4 521
3 678
8 946
Other debts
36 287
13 742
21 010
TOTAL
89 868
53 875
81 945
2-13 MISCELLANEOUS CURRENT LIABILITIES
Tax debts (corporate income tax - other taxes)
(1) From June 30th, 2014, data re-statement to take into account the new retrospective application of IFRIC 21.
Application of IFRIC 21 interpretation includes recording additional tax debts of €5,806k of due taxes spread over
12 months in the financial statements. On June 30th, 2014, the application of IFRIC 21 increased the tax debts of €5,881k
for the period.
2-14 CHANGE IN SHAREHOLDERS’ EQUITY
30/06/2014(1)
31/12/2014
99 272
99 386
154 426
SHARE PREMIUM ACCOUNT
106 360
106 613
103 809
CONSOLIDATED RESERVES GROUP SHARE
316 593
325 912
687 026
9 927
9 927
9 939
1 814
4 758
-18 741
289 464
29 371
1 814
12 108
-18 465
291 157
29 371
1 814
14 050
-17 941
648 471
30 693
COMPOSITION OF SHAREHOLDERS' EQUITY:
CAPITAL
Legal reserves
Optional reserves
Transferable reserves
(Treasury shares)
Unrealised reserves
Other reserves
Retained earnings
MINORITY INTEREST
INCOME/LOSS OF THE PERIOD
Group share
Minority interest share
TOTAL
30/06/2015
1 825
-
-
11 644
33 598
40 879
10 833
811
33 598
-
40 879
-
535 694
565 509
986 139
On June 30th, 2015, the equity capital stood at €154,426,125, composed of 10,295,075 shares at a nominal value of €15
each.
FONCIÈRE DE PARIS
42
2-15 MATURITIES OF SWAPS AND CAPS (NOTIONAL OUTSTANDINGS)
TOTAL
863 000
Less than 3
m onths
-
3 m onths - 1
year
65 000
RATE CAP CONTRACTS
1 520 213
20 000
TOTAL
2 383 213
20 000
INTEREST RATE SWAP CONTRACTS
1 to 5 years
303 000
More
than 5 years
495 000
371 000
979 213
150 000
436 000
1 282 213
645 000
31/12/2014
30/06/2015
2-16 OFF BALANCE-SHEET ITEMS
30/06/2014
COMMITMENTS GIVEN
Funding commitments in favour of clients
4 669
4 248
2 151
Guarantee commitments in favour of lending institutions
-
20 700
95 922
Commitments to acquire investment properties
-
-
53 000
COMMITMENTS RECEIVED
Funding commitments received from lending institutions
125 899
407 939
566 817
Guarantee commitments received from lending institutions
-
-
-
Commitments for the sale of investments properties
-
88 226
-
These funding commitments in favour of clients correspond to the remaining to-be disbursed on financial leasing
contracts that have been signed but for which rental has not yet been received.
The commitments to acquire investment properties correspond to signed purchase-agreements.
The funding commitments received correspond to the unused part of confirmed credit lines that the Company has. On
the date of closure, these confirmed and unused credit lines stood at €566,817k.
The sale commitments on investment properties correspond to signed sale-agreements.
2-17 REVENUE AND EXPENSES ON INVESTMENT PROPERTIES
REVENUE
30/06/2014 (1)
53 184
Rental revenue
Net rental income
Other revenue
RECOVERIES OF IMPAIRMENT OF ASSETS
RECOVERIES ON DOUBTFUL ACCOUNTS
31/12/2014
99 181
30/06/2015
59 333
50 259
98 099
58 492
39 971
12 207
765
79 390
17 358
1 351
45 297
12 587
607
142
99
516
566
555
286
EXPENSES
29 440
49 644
30 851
Expenses on investm ent properties
26 520
49 591
28 748
10 458
285
12 147
3 209
421
21 040
675
17 358
5 492
1 386
11 138
308
12 587
4 666
49
2 922
3 694
2 103
Depreciation and amortisation
Other expenses
PROVISION FOR CONTINGENCIES AND CHARGES
PROVISION FOR IMPAIRMENT OF ASSETS
On June 30th, 2015, the property operating charges include in particular the impact of the application of IFRIC 21
interpretation on non-refundable taxes booked on a full year for an amount of €624k.
The application of this interpretation on the statements of June 30th, 2014 results in an additional, non-refundable
charge of €668k.
43
2-18 REVENUE AND EXPENSES ON FINANCIAL LEASING PROPERTIES
REVENUE
30/06/2014(1)
26 284
Revenues on financial leasing
Ground fees
Other revenues
Capital gains on sales
RECOVERIES OF IMPAIRMENT OF ASSETS
RECOVERIES ON DOUBTFUL ACCOUNTS
EXPENSES
31/12/2014
42 929
30/06/2015
20 180
20 443
32 558
16 800
11 054
7 706
742
941
21 352
8 825
1 185
1 196
8 999
7 330
420
50
2 191
3 652
5 428
4 943
2 311
1 069
15 033
20 736
13 862
Expenses on financial leasing
15 023
20 497
12 299
Non-re-invoiceable expenses
Profit-loss expenses on sales
7 706
591
3 149
1 662
8 825
814
6 404
4 293
7 330
95
1 912
2 332
Other revenues
1 915
161
630
9
239
1 563
PROVISIONS
On June 30th, 2015, the property operating charges include in particular the impact of the application of IFRIC 21
interpretation on non-refundable taxes booked on a full year for an amount of €10k.
The application of this interpretation on the statements of June 30th, 2014 results in an additional, non-refundable
charge of €53k.
2-19 OTHER GENERAL OPERATING REVENUES AND EXPENSES
30/06/2014
7 189
31/12/2014
13 311
30/06/2015
14 532
6 314
875
9 087
4 878
625
2 138
698
502
246
4 871
2 637
167
948
699
420
12 545
766
14 368
7 314
625
3 845
1 379
755
450
9 657
5 248
400
2 000
1 068
941
14 266
266
7 971
6 177
610
969
113
101
11 477
5 488
525
3 150
1 339
975
30/06/2014
1 399
31/12/2014
3 043
30/06/2015
796
1 399
3 043
796
-
-
-
FINANCIAL EXPENSES
-19 997
-45 089
-18 828
Interest and similar expenses
-16 858
-33 404
-17 167
-3 139
-
-11 685
-
-1 661
-
-18 599
-42 047
-18 032
Other operating revenue
Other hotel operating revenue
Other operating revenue
Recovery of provisions for contingencies and charges
Payroll expenses
Free share grants
Depreciation of operating capital assets
Purchases and external charges
Payroll expenses
Depreciation of operating capital assets
Other expenses
2-20 COST OF NET DEBT
FINANCIAL REVENUE
Interest and similar revenue (including cash revenues)
Interest and revenue on financial instruments (caps)
Interest and expenses on financial instruments (caps)
Taxes, commisssions and brokerage fees on sales of securities
COST OF NET DEBT
FONCIÈRE DE PARIS
44
2-21 DIVIDENDS AND NET REVENUE ON NON-CONSOLIDATED SECURITIES
30/06/2014
5 129
31/12/2014
5 189
30/06/2015
4 712
Provision and recoveries on securities' depreciation
-
-1 908
2
Net revenue or loss on sale of available-for-sale securities
2
7 839
826
5 131
11 120
5 540
Dividends and bonds' interest
DIVIDENDS AND NET REVENUES ON SECURITIES
2-22 VARIATION IN THE VALUE OF FINANCIAL INSTRUMENTS
30/06/2014
31/12/2014
30/06/2015
VARIATION ENTERED ON INCOME STATEMENT
Marketable securities and TIAP
-
-
-
Securities held for trading
-
-
-
AVAILABLE-FOR-SALE SECURITIES (ACTUAL SALE)
Interest rate instruments
Caps
Swaps
VARIATION RECORDED THROUGH SHAREHOLDERS' EQUITY
Available-for-sale securities
Interest rate instruments
Effective part of hedging caps
Effective part of hedging swaps
-
-
-
-4 936
-
-6 138
-
2 424
-
7 611
10 383
1 399
-1 283
5 591
-1 168
30/06/2014
31/12/2014
30/06/2015
1 768
1 763
350
-557
-871
-609
1 211
892
-259
30/06/2014
31/12/2014
30/06/2015
DEFERRED TAX ASSETS
Loss carryforward on provisions of treasury shares
Fiscal reprocessing on provisions
Fiscal reprocessing on swap variation
Fiscal reprocessing on cap variation
GEI deferred loss
Other fiscal reprocessing
2 788
2 252
4 779
37
128
1 658
658
2
308
51
133
800
881
386
252
155
720
874
1 800
978
DEFERRED TAX LIABILITIES
Hotel business fair value
1 369
-
1 957
-
8 023
6 500
1 365
4
1 950
7
1 299
224
2-23 TAXATION FOR THE CURRENT FINANCIAL PERIOD
CORPORATE TAX
Corporate tax
Other variation in deferred tax
TOTAL
BREAKDOWN OF DEFERRED TAX ASSETS AND LIABILITIES
Fiscal reprocessing on securities
Fiscal reprocessing on cap variation
45
2-24 SEGMENT REPORTING
31/12/2014
30/06/2015
SEGMENT REVENUES AND EXPENSES
TOTA L
OPERATING REVENUE
Net rental income/sales of services
Lo ans to
clients
(financial Investment
leasing) pro perties
Ho tel
A ctivities
Other
activities
TOTA L
Lo ans to
clients
(financial Investment
leasing) pro perties
Ho tel
A ctivities
Other
activities
155 421
113 287
42 929
21 352
99 181
79 390
12 545
12 545
766
-
94 044
68 562
20 180
8 999
59 333
45 297
14 266
14 266
266
-
26 183
3 302
8 825
1 185
17 358
1 351
-
766
19 917
1 178
7 330
420
12 587
492
-
266
Recoveries of impairment of assets
5 944
5 428
516
-
-
2 866
2 311
555
-
-
Recoveries of impairment of accounts
receivable
5 509
4 943
566
-
-
1 471
1 069
402
-
-
Capital gain on sale
1 196
1 196
-
-
-
50
50
-
-
-
OPERATING EXPENSES
80 037
20 736
49 645
9 656
-
56 190
13 862
30 851
11 477
-
Depreciation, amortisation and provisions
22 347
239
21 040
1 068
-
14 040
1 563
11 138
1 339
-
Provisions for doubtful accounts
7 079
6 404
675
-
-
2 220
1 912
308
-
-
Provisions for impairment of assets
3 694
-
3 694
-
-
2 103
-
2 103
-
-
-
-
-
-
-
-
-
-
-
-
26 183
8 825
17 358
-
-
19 917
7 330
12 587
-
-
6 306
814
5 492
-
-
4 761
95
4 666
-
-
Other revenue
Non reinvoiced expenses and purchase of
goods
Other expenses
10 135
161
1 386
8 588
-
10 817
630
49
10 138
-
REVENUE FROM SALE OF LEASING
TRANSACTIONS
4 293
4 293
-
-
-
2 332
2 332
-
-
-
REVENUE FROM SALE OF INVESTMENT
PROPERTIES
6 123
-
6 123
-
-
22 322
-
22 322
-
-
DIVIDENDS
5 189
-
-
-
5 189
4 708
-
-
-
4 708
NET REVENUE ON
NON-CONSOLIDATED SECURITIES
7 839
-
-
-
7 839
826
-
-
-
826
88 412
22 193
55 659
2 889
13 794
65 711
6 318
50 804
2 789
5 800
OPERATING INCOME
(before financial and general operating
expenses)
SEGMENT ASSETS AND LIABILITIES
31/12/2014
30/06/2015
SEGMENT ASSETS
Financial leasing
1 714 002
425 053
2 559 928
361 099
1 053 484
1 894 139
54 082
208 786
181 383
95 904
1 056 472
877 232
1 479 575
1 223 702
179 149
255 873
Hotel activities
Other activities (portfolio-securities)
SEGMENT LIABILITIES
Financial debts more than one year
Financial debts less than one year
FONCIÈRE DE PARIS
46
3- OTHER INFORMATION
3-1 WORKFORCE AND REMUNERATION
3-2 REMUNERATION BASED ON SHARES
The Group’s workforce (excluding the hotel business)
was at 39 persons on June 30th, 2015 (4 directors, 26
executives and 9 employees).
The personnel do not have any options to purchase the
Company’s shares.
In February 2015, 15,730 free shares were granted to
personnel (of which 4,500 to corporate officers).
The workforce for the hotel activities (which charge is
recorded under “expenses in other activities”, see note
4.1) amounts to 249 persons (30 executives, 34
supervisors, 162 employees, 16 trainees and 7 under
youth professionalization contracts).
A Company’s savings plan (PEE) has been established,
together with a voluntary profit-sharing and incentiveplan agreement.
The Company has put in place a retirement bonus for
the benefit of employees of the parent-company and
corporate officers. The provision for retirement benefits
stood at €2,900k on June 30th, 2015
4- NON-CONSOLIDATED EQUITY
INVESTMENTS
(of which €1,449k for corporate officers including social
charges), versus €2,976k pro forma on December 31st,
2014 (of which €1,598k for corporate officers). The
provision is adjusted each year, according to changes
in salaries, under the following conditions:
 1 year of salary for employees over 50 years old and
with 10 years of seniority, under being proportional to
seniority;
This provision is entered in a provision for expenses
account. There are no covering assets. The amounts
allocated to administrative and executive services of
the parent-company were of €1,487k over this period
(€198k for attendance fees and €1,289k for executives’
compensation).
31/12/2014 30/06/2015
DIRECTORS
2,801
2,497
Short-term benefits
2,128
1,951
Benefits previous to employment
67
44
Long-term benefits
-
-
Share-based payment
Number of performance shares
6,100
4,500
607
501
Benefits in kind
9
8
Termination compensation
-
1
NON-EXECUTIVE CORPORATE OFFICERS
230
160
Attendance fees
230
160
Valuation of performance shares
% direct
and indirect
holding
Last profit/loss
financial year
ended (€k)
Date
of closure
Fair value
(€k)
SARL La
Villette Food
50.00%
72
31/12/2014
5
The company Villette Food which has a restaurant
activity was excluded from consolidated scope, first
because the other associate holds 50% and manages
entirely the business and secondly because it is not
significant in the equity capital (€314k) nor in the
profit/loss income (€72k).
 6 months of salary for employees under 50 years old
and with 10 years of seniority, under being
proportional to seniority.
REMUNERATION OF THE DIRECTORS
ACCORDING TO THE FIVE CATEGORIES
OF IAS 24.17 STANDARDS
Company
47
5- PRO-FORMA FINANCIAL INFORMATION AS OF JUNE 30TH, 2015
5-1 PRO-FORMA CONSOLIDATED FINANCIAL STATEMENTS AS OF JUNE 30TH, 2015 (IFRS STANDARDS)
A pro-forma consolidated financial statement was prepared concerning the first half-year 2015. It integrates Foncière
des 6ème et 7ème Arrondissements de Paris Company’s activities since January 1st, 2015.
ASSETS
30/06/2015
30/06/2015
Pro forma
94 044
106 550
59 333
45 297
12 587
492
555
286
115
20 180
8 999
7 330
2 311
1 069
50
420
14 532
14 266
266
64 162
68 949
53 612
13 722
495
555
286
279
20 180
8 999
7 330
2 311
1 069
50
420
17 441
17 155
266
71 221
30 851
12 587
4 666
11 138
2 103
308
49
13 862
7 330
95
1 563
1 912
2 332
630
11 477
10 138
1 339
7 975
6 177
613
969
113
103
29 882
22 322
52 204
-1 516
-18 032
5 540
2 424
40 620
259
40 879
34 095
13 722
4 953
12 978
2 103
308
31
13 862
7 330
95
1 563
1 912
2 332
630
14 005
12 173
1 832
9 260
7 110
770
993
168
220
35 328
22 322
57 650
-1 516
-20 962
5 611
2 424
43 207
259
43 466
including minority interest share
GROUP SHARE
Earnings per share
40 879
4,94 €
4,30 €
Diluted earnings per share
4,76 €
4,20 €
OPERATNG REVENUE
Revenue from rental activity
Rents
Other revenues and transferred expenses
Recoveries of impairments of assets
Recoveries of doubtful accounts
Recoveries for provisions for contingencies and charges
Revenue from credit-leasing
Fees, taxes and other revenues
Re-invoiced charges
Recoveries of provisions and depreciaiton
Recoveries of provisions for doubtful accounts
Capital gain on sales
Other revenue
Other operating revenues
Hotel operating revenue
Other revenue
Other recoveries of provisions for contingencies and charges
OPERATING EXPENSES
Expenses on rental activity
Depreciation
Depreciation for asset provisions
Other expenses
Operating expenses on financial leasing
Provisions for assets
Gain/loss on sales
Other expenses
Depreciation and amortisaiton for the hotel business
Other provisions for contingencies and charges
General operating expenses
Payroll expenses
Depreciaiton, amortisation and provisions
Other Operating expenses
Operating profit
Income form sale of investment properties
Operating profit after sale of investm ent properties
PROFIT/LOSS OF EQUITY AFFILIATES
Net debt cost
Dividends and net revenue on securities
Change in value of derivatives
Impact fo discounts
Changes in goodw ill value
PRE-TAX PROFIT
Taxes (including deferred tax)
NET PROFIT
FONCIÈRE DE PARIS
48
REPORT OF THE STATUTORY AUDITORS ON HALF-YEAR
CONSOLIDATED FINANCIAL STATEMENTS
To Shareholders,
In execution of the assignment that was entrusted to us by the General Meeting of Shareholders and according the
article L.451-1-2 III of Monetary and Financial Code, we reviewed:
The condensed interim consolidated statements of Foncière de Paris Company, covering the period from January 1st,
2015 to June 30th, 2015, as detailed in the attached review;
Verification of the provided information related to the half-year business report.
The condensed consolidated half-year financial statements were established by the Board of Directors. Our
responsibility is to express a conclusion on the financial statements, based on our limited review.
1. CONCLUSION OF THE FINANCIAL STATEMENTS
We conducted our audit in accordance with the professional standards applicable in France.
A limited audit consists mainly in obtaining information from the members of the Board of Directors concerned by the
accounting and financial aspects and applying analytical procedures.
This work is less extended than those required for in an audit carried out in the frame of corporate annual appraisals
applicable in France. Consequently, the assurance that the statements taken as a whole do not comprise any
significant misstatements is lesser than those identified in a full audit.
On the basis of our limited analysis, we have not identified any significant misstatement which would cast doubt on the
compliance of the condensed interim financial statements with IAS 34-IFRS standards as set in the European Union
concerning interim financial information.
2. SPECIFIC VERIFICATION
We have also carried out a specific verification on the information given in the interim management report
commenting the condensed half-year consolidated financial statements that we reviewed.
We have no comment to make about its fairness and consistency with the half-year condensed consolidated
accounts.
Executed in Courbevoie and Paris on July 30th, 2015
The Statutory Auditors
MAZARS
SAINT HONORE SEREG
Odile COULAUD
Denis VAN STRIEN
RESPONSIBLE PERSON
PERSON RESPONSIBLE FOR THE HALF-YEAR FINANCIAL REPORT
François THOMAZEAU-Chairman of the Board of Directors.
STATEMENT OF THE PERSON RESPONSIBLE FOR THE HALF-YEAR FINANCIAL REPORT
“To my knowledge, I certify that the complete and final accounts for the past half-year are settled in compliance with
the accounting standards and reflect the portfolio, the financial state, the company’s achievement as well as the
companies in its scope. I attest that the interim report, noted in chart page 10, is a fair review of the import events
occurred during the first six months of business and concerning their impact on the financial statements, the
transactions between related parties as well as the main risks and principle uncertainties for the six months to come”
François THOMAZEAU
July 30th, 2015
FONCIÈRE DE PARIS
50
The document was edited by Foncière de Paris.
Layout: GIP COMMUNICATION
Photo credits: Sacha Lenormand; David Grimbert; Stephan Lucas.
Printed on paper certified by the Forest Stewardship Council, which
guarantees that the pulp comes from sustainable, responsibly managed
forests.
Foncière de Paris SIIC : 41/43, rue Saint-Dominique • 75007 Paris • France
Phone: + 33 (0)1 53 70 77 77 • Fax: + 33 (0)1 53 70 77 78
www.fonciere-de-paris.fr
The company is listed on Euronext Paris • ISIN code: FR0000034431 • Ticker: FDPA

half-year business report

Transcription

Similar documents

Eiffel Tower Louvre Museum Notre

PARIS

10Days London Paris Brussels Amsterdam

Immunité intracellulaire et la détection des

TO STAYING SAFE IN PARIS

2 Laurent Kamiel - Franprix - and Eloi Flipo

Print Format - La Pendulerie

Vol. 09.07 / August 21, 2009

Vancouver/Richmond Fax to: 604-253

Vol. 08.01 / February 22, 2008